Uber Shuttle allowed users to pre-book bus services on fixed routes, and was mainly used by commuters travelling to work between New Delhi, Gurugram and Noida
Uber entered the employee transport services space in India earlier this year and it hopes that the B2B segment will provide a better product market fit
Competition in India’s mobility space is heating up due to a slew of new entrants amid increased demand for transport services
Ride-hailing giant Uber has pulled the plug on shuttle operations in Delhi NCR following similar shutdowns in cities like Mumbai and Hyderabad last year due to low ridership and high operating costs as the reasons behind the move.
“We wanted to inform you that Uber Shuttle services in your city will be discontinued after 27 March. After this date, Shuttle rides will no longer be available,” Uber said in an email to commuters.
Uber Shuttle allowed users to pre-book bus services on fixed routes, and was mainly used by commuters travelling to work between New Delhi, Gurugram and Noida.
Uber said that Delhi NCR was the only remaining city where its shuttle service was active. However, the decision to sunset the service came as the company is looking to double down on office commute as its next growth lever in India.
“Shuttle helped us serve a strong commuter base and build valuable learnings in high capacity mobility which has a strong market fit. We are now applying those learnings to a larger opportunity by strategically shifting focus toward Employee Transportation Services (ETS), a fast growing corporate commute segment with predictable demand and stronger utilization,” an Uber spokesperson told Inc42 in a statement.
Uber entered the employee transportation services (ETS) space earlier this year, basing the move on increased demand in this segment due to an increase in corporate employees working in global capability centres, banks and IT companies. This is expected to propel the corporate mobility services segment to reach $13 Bn by 2030.
As per the company, ETS will feature a mix of transport vehicles based on the requirements of the enterprise hiring the service.
“ETS will definitely remain one of the larger growth bets for Uber in India. With Uber’s global vision of reimagining the way the world moves for the better, we are also trying to reimagine the way that corporates move their employees for the better,” Likhitha Goud, who heads the ETS wing at Uber India, told Inc42 recently.
Competition in India’s mobility space is heating up due to a slew of new entrants amid increased demand for transport services. Uber’s parent company recently infused nearly ₹3,000 Cr in its Indian arm amid this.
On the financial front, Uber India’s net loss soared almost 15X to ₹1,511 Cr in FY25 from ₹89 Cr in the previous fiscal. Its gross revenue, which includes commissions earned from rides, remained flat at ₹2,604 Cr during the year.
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