Uber halts operations in Pakistan amid local competition

After facing intense competition from local contenders, global ride-hailing giant Uber has officially halted all operations in Pakistan. A company spokesperson confirmed the same on Tuesday. The cessation comes in the wake of Uber's prior withdrawal from several major cities in 2022, including Karachi, Multan, Faisalabad, Peshawar, and Islamabad.

Uber leaves Pakistan

In light of this development, Uber users are urged to transition to Careem, a subsidiary of Uber, which will continue to provide ride-hailing services throughout Pakistan. Uber's acquisition of Careem in 2019 for $3.1 billion underscored the companies' commitment to maintaining regional operations under independent branding.

With Uber's exit from Pakistan's market, Careem aims to consolidate its presence and expand its reach across the country. Notably, Uber had been operating exclusively through the Careem app in Lahore prior to its complete withdrawal.

Careem replaces Uber

Acknowledging the transition, the spokesperson assured former Uber users of a seamless experience on the Careem platform. Additionally, users with remaining balances in their Uber accounts will have the opportunity to reclaim their funds, alongside incentives such as complimentary rides on Careem.

“Our subsidiary brand, Careem, will continue operations offering ride-hailing services across Pakistan,” the spokesperson said.

The rise of local competitors offering competitive pricing has significantly impacted the dominance of Careem and Uber in Pakistan's ride-hailing landscape. Presently, In-Ride, an innovative service enabling fare negotiations between users and drivers, has emerged as a preferred choice among consumers.

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