Uber is increasing investment in food delivery

Uber is increasing investment in food delivery this year with plans to launch its UberEats takeaway app in 100 new cities across Europe, the Middle East and Africa… Uber has already rolled out UberEats in more than 200 cities. It plans to open the service in Ireland, Egypt, Kenya, Ukraine, Romania and the Czech Republic, in addition to more than 40 new cities in the UK and 35 new cities in France. It is aiming at a bigger slice of the $28 billion food delivery market in Europe, the Middle East and Africa… The plans come amid a push to improve financial discipline at Uber ahead of any IPO… Uber is close to signing a deal that would see it effectively pull back in south-east Asia in exchange for a stake of more than 20 per cent in Grab, its Singapore-based rival… UberEats was profitable in 45 of the 200 cities where it operated in the year to December 31, compared with just three out of 50 cities the previous year… At the end of last year, it generated about 10 per cent of the company’s overall gross revenue, or $1.1 billion in the fourth quarter. The proposed expansion comes as competition in the sector intensifies, with rivals including London-based Deliveroo saying last month that it would hire 250 tech employees to bolster its own global ambitions. The company already faces tough competition in the US, where DoorDash earlier this month raised $535 million from a group led by SoftBank.
Aliya Ram