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First with the News

Uber To Cease Food Delivery In Italy, Exit Israel

June 15, 2023
in Top Stories, World
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A bicycle courier from Uber Eats rides his bicycle during the heatwave in Utrecht, Netherlands August 10, 2022. REUTERS/Piroschka van de Wouw/FILE PHOTO

A bicycle courier from Uber Eats rides his bicycle during the heatwave in Utrecht, Netherlands August 10, 2022. REUTERS/Piroschka van de Wouw/FILE PHOTO

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By Oyintari Ben

Uber (UBER.N) announced on Thursday that it would halt its food delivery service in Italy and leave Israel because it has not amassed a large enough market share there.

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A firm representative stated that the actions were “in line with our efforts to focus on markets where we have opportunities for sustainable growth”.

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CEO Dara Khosrowshahi said Uber would only invest in markets that can dominate or be a close second.

In the Italian food delivery industry, Just Eat (TKWY.AS) and Glovo (DHER.DE) are ahead of Uber. In the Israeli taxi and private hire market, Gett Taxi and Yango (YNDX.O) are ahead of Uber.

According to the business, around 50 Uber employees and hundreds of independent couriers and restaurants in Italy would be impacted, which depends on self-employed freelancers for its delivery service.

It declared that it would keep growing its mobility business there, where it collaborates with the dispatcher IT taxi.

Britain, France, Spain, and Germany comprise most of the company’s European markets.
Taxi drivers in Europe, who use the Uber app to complement their curb-side ride-hailing business, are reportedly adopting it rapidly, according to Uber.

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