Russia

Uber quits major African markets

RT English · 2026-09-03

AI SUMMARY

• What happened: Uber has ceased operations in Nigeria and Uganda, ending a 12-year presence in Nigeria and a decade in Uganda, effective Wednesday. • Why it matters: The withdrawal reflects Uber's ongoing restructuring efforts, which include significant job cuts and a shift in focus towards growth and innovation, particularly in autonomous technologies, amidst challenges in these markets. • What to watch next: Monitor the impact of Uber's exit on the ride-hailing landscape in Nigeria and Uganda, including how alternative services like Bolt and SafeBoda respond, and the effects on drivers and employees affected by the closure.

**Title: Uber Exits Major African Markets, Shutting Down Operations in Nigeria and Uganda**

US ride-hailing giant Uber has announced the cessation of its operations in Nigeria and Uganda, marking the end of a 12-year presence in Nigeria, the most populous nation in Africa, and a decade-long service in Uganda. The decision took effect on Wednesday, following what the company described as a “thorough review” of its business strategy.

Uber has not disclosed the number of employees or drivers impacted by this decision but has stated that assistance will be provided to those affected during the transition period. Despite the closures in these two significant markets, Uber emphasized its ongoing commitment to the African continent.

This move coincides with a broader restructuring initiative within Uber, which involves approximately 3,300 job cuts, representing around 10% of the company's global workforce. CEO Dara Khosrowshahi indicated that the restructuring aims to reduce costs and reallocate resources towards growth and innovation, particularly in the development of autonomous technologies.

Uber first launched its services in Lagos, Nigeria, in 2014, followed by its entry into the Ugandan market in 2016. However, the company has faced ongoing challenges in these regions, including disputes over driver earnings, commission rates, and regulatory compliance. Earlier this year, Nigerian drivers organized strikes, protesting against fares that they claimed did not keep pace with rising fuel prices and vehicle maintenance costs. The Amalgamated Union of App-Based Transporters of Nigeria criticized Uber’s business model as exploitative and expressed dissatisfaction with the company’s decision to withdraw without adequate consultation with drivers.

The exit from Nigeria also follows a dispute regarding access to airports managed by the Federal Airports Authority of Nigeria. Although Uber denied that this issue was the catalyst for its departure, the company stated that the decision was based on evolving business priorities and investment plans. With Uber’s exit, alternative ride-hailing services such as Bolt, inDrive, and the government-supported LagRide remain operational in Nigeria.

In Uganda, Uber faced stiff competition from local platforms like SafeBoda and Faras. Drivers in the country have also raised concerns regarding low fares and high commission rates, compounded by increasing operational costs and challenges in retaining drivers.

Uber's recent withdrawals are part of a trend of scaling back its operations in Africa. The company previously exited Ivory Coast in 2025 and Tanzania in January 2026, following prolonged disputes with Tanzanian regulators over fare controls and commission limits. In 2018, Uber suspended its operations in Morocco due to regulatory uncertainties but made a return to the market in November 2025.

Following the latest closures, Uber's direct presence in Africa is now limited to South Africa, Kenya, Ghana, Egypt, and Morocco. Additionally, its technology continues to be utilized in Mauritius through a locally managed service called Taxi by ala-lila, which is powered by Uber.

As Uber navigates these challenges, the company is focusing on strategic adjustments aimed at fostering growth and innovation in its remaining markets. The impact of these recent changes on the ride-hailing landscape in Nigeria and Uganda, as well as on the drivers and employees affected, remains to be seen.

Source: RT English
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