Uber Halts Operations in Pakistan Amid Local Competition

Uber shut shop in Pakistan: Facing fierce competition from local players, global ride-hailing giant Uber has ceased all operations in Pakistan, confirming the move through a spokesperson on Tuesday. The company's withdrawal follows the discontinuation of services in several major cities back in 2022.

The spokesperson clarified that while Uber's services are ending, its subsidiary brand, Careem, will continue to provide ride-hailing services across Pakistan. Notably, Uber acquired its rival Careem in 2019 for a hefty sum of USD 3.1 billion.

Previously, Uber had already terminated operations in Karachi, Multan, Faisalabad, Peshawar, and Islamabad in 2022, maintaining its presence only in Lahore through Careem and the Uber app.

With the cessation of Uber's operations, the company now aims to bolster the growth of the Careem app in Pakistan. Users of Uber will need to transition to Careem, as operations under the Uber brand have officially ceased as of Tuesday.

For Uber users with remaining balances in their accounts, the spokesperson assured them that they would be able to reclaim their funds in due course and receive complimentary rides on Careem.

The rise of ride-hailing and sharing apps in Pakistan has intensified competition, with local players offering more competitive rates. Consequently, Careem and Uber have witnessed a weakening grip on the market. Currently, In-Ride, a service allowing users to negotiate fares with drivers, has emerged as a popular choice among consumers.