Uber said Thursday that it would exit the Israeli market because it had not achieved sufficient market share, underscoring the highly competitive ride-hailing and delivery environment in the Middle Eastern country.
Reuters reported that Uber CEO Dara Khosrowshahi said that Uber will only invest in markets where it could be the first or second-largest player.
Why it matters: The move marks the behemoth of the ride-hailing world's exit from a key Middle Eastern market. In Israel, Uber is trailing behind Israeli-founded Gett and Russian taxi company Yango when it comes to taxi and private vehicle hire. Last month, Yango Delivery partnered with DelivApp to speed up deliveries and make them cheaper.
“We have made the difficult decision to discontinue our mobility business in Israel. This is in line with our efforts to focus on markets where we have opportunities for sustainable growth. Our No. 1 priority now is to support our teams as well as our mobility partners on the ground,” an Uber spokesperson told Al-Monitor.
