Business
Uber Exits Nigeria After 12 years, Leaving Drivers, Riders To Find Alternatives
After 12 years of ferrying Nigerians across Lagos and other parts of the country, Uber has ended its ride-hailing business in Nigeria, shutting down its service alongside operations in Uganda as the global company restructures its business.
The withdrawal took effect on Wednesday, September 2, with the company saying it followed a review of its business priorities and where it could generate the greatest value for drivers and riders.
Uber said the decision was restricted to Nigeria and Uganda and would not affect its other operations across Africa.
The development means drivers who depended solely on the platform for their income must now look elsewhere, while riders who routinely compare fares and availability across competing applications have one less option.
Uber did not disclose how many drivers, employees or riders would be directly affected in Nigeria. It said, however, that it had contacted active drivers and would provide a token of appreciation as they transition away from the platform.
For its employees, the company said it would communicate directly on the arrangements for the transition.
The Nigerian exit comes as Uber simultaneously announced a global restructuring that will see about 3,300 jobs eliminated, representing roughly 10 percent of its workforce.
Chief Executive Officer, Dara Khosrowshahi said in an internal communication that the exercise would also reduce the number of managers by 20 percent, with some moving into individual contributor roles.
Uber said it remained committed to Sub-Saharan Africa despite leaving Nigeria and Uganda, describing the region as a market with strong growth prospects and long-term potential.
The company’s departure will also extend beyond ordinary ride-hailing customers. Uber for Business services in both countries are being discontinued, with the company saying it is engaging affected business partners directly.
For riders, support will remain available for 21 days after the shutdown to resolve outstanding issues. Uber also said customers’ personal information would continue to be handled according to applicable privacy and data protection laws, with data retention limited to what is legally required.
The company further clarified that its decision to leave Nigeria was not prompted by the recent Federal Airports Authority of Nigeria (FAAN) directive affecting e-hailing services at airports.
Instead, Uber said the withdrawal was based on its changing business priorities and investment strategy across Africa.
With Uber gone, riders in Nigeria are left mainly with Bolt, LagRide and inDrive as the major alternatives. While some drivers already work across several platforms, those who built their livelihoods around Uber will now have to make a choice: move to another service, work across multiple platforms or leave the ride-hailing business altogether.
