Uber announced its departure from the Israeli market a year after trying to return to it
Posted on Jun 15, 2023 by Ifi Reporter - Dan Bielski
The transportation application Uber announced its departure from the Israeli market, about a year after trying to return to it. In the world, Uber is mainly known through the UberX service, which allows transportation in private cars, but in Israel, it operated in the taxi market. According to industry estimates, the company failed to gain a large foothold in the general taxi market, where it competed with apps like Get and Yango but was successful among tourists - who were used to using the app around the world.
According to estimates in the industry, the lack of the possibility of a change in regulation in the taxi sector, which would allow traveling in private cars or even sharing a taxi between several passengers, did not help Uber to stay, and this must be added complaints received by the company about the level of service from some taxi drivers. Uber, which returned to the Israeli market in July of last year, planned to offer a service of shared taxis, which would allow several passengers to share a taxi for a lower price for each of them, but the Ministry of Transportation did not promote the idea.
A spokesperson for Uber said: "We made the difficult decision to suspend our taxi booking services in Israel, at the same time as stopping delivery services in Italy, as we have done in the past in other markets. The decision was made in accordance with Uber's policy to focus on the company's key global markets. We are working to minimize the harm to our drivers The taxis active on the platform and on our team in Israel."
Uber is the second transportation company to announce this week that it is ceasing operations in Israel. It was preceded by Tier, which operates in the field of renting scooters. Tir is leaving, according to her, due to multiple thefts, but the Tel Aviv Municipality said that the company did not meet the threshold conditions for a permit that allows activity in the city.
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