Uber’s CEO hints at cheaper rides after the company announced 3,300 corporate jobs
Dara Khosrowshahi said AI has partly created a “tailwind” for the company on productivity.
Uber's CEO, Dara Khosrowshahi, has hinted at the possibility of cheaper rides for customers following the company's announcement of 3,300 corporate job cuts. In an interview at the Goldman Sachs Communacopia + Technology Conference, Khosrowshahi explained that the layoffs would allow for a flatter management structure and less complexity, which could prove beneficial as autonomous taxi companies like Waymo pose a growing threat to Uber in certain markets.
The CEO also revealed that the savings from the corporate layoffs would be reinvested in growth, innovation, and capabilities crucial for the future. Khosrowshahi further stated that these savings would translate into lower prices, enhanced selection, and continued investment in the company's growth program. Additionally, Uber is now benefiting from a reversal in commercial insurance costs, which had previously outpaced inflation.
The company plans to use some of these savings for lower prices and special offers, such as the Wait & Save program, which provides discounts for riders willing to wait longer for a pickup.
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