Uber ceases operations in 5 Pakistani cities

According to a statement released by Uber on Tuesday, it has stopped operating in Karachi, Multan, Faisalabad, Peshawar, and Islamabad.

A statement on the company’s website says, “Uber is dedicated to Pakistan. We will continue to serve these five cities via our subsidiary brand Careem and continue to run the Uber app in Lahore.”

Uber will keep providing its services in Lahore while also introducing new products to “help earners through these challenging times.”

It declared that it would inform its customers and business partners in the five locations of how to use and seamlessly switch to Careem.

“When we acquired Careem, it was always our belief that the two companies could come together to complement each other’s strengths and better serve the region through tailored experiences,” the statement added.

According to Dawn, the company said it was aware this was a “difficult time” for its teams, which had “worked incredibly hard to build this business over the past few years”.

“We greatly appreciate everyone’s contributions and our priority is to minimise the impact on our employees, drivers, riders, and Hero partners who use the Uber app during this change in Karachi, Islamabad, Faisalabad, Multan and Peshawar,” the statement reads.

Uber finalised the $3.1 billion acquisition of rival Careem in 2020. At the time, it was said that Careem and Uber will continue to operate as distinct businesses and provide their own regional services.

By the time the purchase was completed, Uber had acquired Careem’s mobility, delivery, and payments operations throughout the larger Middle East, including its key markets in Saudi Arabia, Egypt, Jordan, and the United Arab Emirates.