While Uber might have started out as a company that offers ride hailing services, the company has expanded its offerings to do more than that. Back in 2015 they announced a new service called UberRush that basically allowed restaurants to use its services as a means to deliver food to customers.

However a report from Quartz has revealed that they will be shutting that down. Note that UberRush itself will not be shutting down, but rather the services for restaurants will be. This means that restaurants who want to use Uber for food deliveries will now have to go through the company’s other delivery initiative, UberEats.

In a statement provided by an Uber spokeswoman, “We built UberEats to specifically meet the needs and support the growth of our individual restaurant partners. Moving forward, we will focus UberRush on powering backend delivery logistics for merchants and enterprises such as grocery stores and florists.”

Given that UberEats more or less accomplishes the same thing, we guess it doesn’t make sense for Uber to have two overlapping services. According to a former employee who spoke to Quartz, “We got into a situation where dinner rush would mean a lot of people were taking food deliveries, but then they weren’t driving for UberX, so it was causing surge pricing. We were attacking our own business.”

Filed in General. Read more about .

Discover more from Ubergizmo

Subscribe now to keep reading and get access to the full archive.

Continue reading