Uber quits Uganda

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Kampala — Global ride-hailing company Uber has ended its operations in Uganda, bringing its nearly decade-long presence in the country to a close as part of a wider restructuring of its global business.

Uber’s withdrawal took effect on September 2, 2026, and was announced alongside the company’s decision to wind down its operations in Nigeria. The company said the decision followed a review of its business priorities.

“We are writing to share some difficult news. After a thorough review of our business, we have made the tough decision to wind down our operations in Uganda, effective September 2, 2026,” Uber said in a notice to users.

Uber launched its services in Kampala in 2016, becoming one of the first major international ride-hailing platforms to establish a significant presence in Uganda’s urban transport market.

For thousands of drivers and passengers, particularly in Kampala and the surrounding metropolitan area, the exit marks the end of a service that became part of everyday urban movement.

The company said its withdrawal was limited to Uganda and Nigeria and did not represent a retreat from Africa as a whole.

“After a thorough review, we have taken the difficult decision to wind down operations in Nigeria and Uganda,” an Uber spokesperson said.

“This decision is limited strictly to these two markets and does not impact our operations across the rest of the continent. Our immediate priority is supporting drivers, riders, and local team members throughout this transition. Uber remains deeply committed to Sub-Saharan Africa, where we continue to see robust growth and long-term opportunity.”

Uber will continue providing support to users during the transition period. According to Daily Monitor, customer support will remain available through the application for 21 days to help resolve outstanding transaction and account issues.

The exit leaves Uber operating in Egypt, Ghana, Kenya and South Africa among its African markets, after previous withdrawals from other countries on the continent.

Global restructuring

The Uganda withdrawal comes as Uber undertakes a major restructuring of its global operations.

The company is cutting approximately 3,300 corporate jobs, representing about 10 per cent of its workforce, as it seeks to reduce operating costs and simplify its corporate structure.

Uber Chief Executive Officer Dara Khosrowshahi told staff that years of expansion had created additional layers of management and fragmented responsibilities that had become inefficient.

The restructuring is expected to free up capital for areas the company considers strategically important, including ride-hailing technology, delivery services and autonomous vehicles.

Uber has increasingly positioned autonomous driving as a central part of its long-term strategy, forming partnerships with technology and automotive companies working on robotaxi systems. Daily Monitor reported that the company has committed more than $10 billion to autonomous vehicle partnerships.

The shift raises a broader question for the ride-hailing industry: as companies invest heavily in driverless vehicles, what happens to markets where conventional ride-hailing remains the dominant model?

Uganda’s ride-hailing market adjusts

Uber’s departure leaves a gap in Uganda’s increasingly competitive digital transport sector.

Local and regional competitors including Bolt, SafeBoda and Faras are expected to compete for Uber’s former riders and drivers.

The departure could therefore reshape the balance of power in Kampala’s ride-hailing market, particularly as customers compare fares, availability, safety features and driver numbers among the remaining platforms.

For drivers who depended on Uber for income, however, the question is more immediate.

The company entered Uganda promising a technology-driven alternative to traditional taxi services, connecting passengers with independent drivers through a smartphone application. Over the years, the model created a new category of work for thousands of motorists while also changing how many Kampala residents moved around the city.

Now the platform is gone.

Uber’s exit also illustrates the difficult economics of operating global technology platforms in African markets. A company can become deeply embedded in the daily life of a city without necessarily becoming sufficiently profitable, scalable or strategically important to its global parent.

Uganda therefore becomes part of a larger corporate calculation: where should a multinational technology company spend its next dollar?

For Uber, the answer currently lies elsewhere.

The company insists that Africa remains strategically important, but Uganda and Nigeria are no longer part of that calculation.

 

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