Uber announced on Thursday the closure of its food delivery business in Italy and its withdrawal from Israel, where the American group has not acquired enough market share. The moves are “consistent with our efforts to focus on markets where we have sustainable growth opportunities,” a company spokesperson said.
Chief Executive Dara Khosrowshahi said Uber would only invest in markets where it could become the first or second biggest player. Uber is hot on the heels of Just Eat and Glovo in the food delivery sector in Italy, as well as Gett Taxi and Yango in the Israeli taxi and chauffeur-driven vehicle (VTC) market.
Thousands of restaurateurs and other couriers affected in Italy
The company, which relies on independent contractors for its delivery service, said around 50 Uber employees, as well as thousands of restaurateurs and other non-employee couriers, would be affected in Italy. He added that he will continue to develop his mobility service in this country, with the taxi operator IT taxi.
The company’s main markets in Europe are Great Britain, France, Spain and Germany. Uber says taxi drivers in Europe are massively adopting the Uber app to complement their business.
Source: BFM TV
