HABARI DAILY I Kampala, Uganda I Uber has suspended its operations in Uganda after a decade in the country, bringing to an end one of the most recognisable international ride-hailing services on the Ugandan market. It also announced its exit from Nigeria, a huge market out of which it has been deriving it’s revenue on the African continent.
The US-based technology company stopped accepting rides in Uganda on September 2, 2026, following a review of its business across Africa and a broader reassessment of its global investment priorities.
Uber informed customers that it had made the decision after what it described as a “thorough review” of its business.
“After a thorough review of our business, we have made the tough decision to wind down our operations in Uganda, effective 2 September 2026,” the company said in an email to customers.
However, Uber did not disclose the financial performance of its Ugandan operations or identify a specific problem that forced it to leave the market.
Instead, the withdrawal appears to be part of a wider strategic shift by the company, which is increasingly directing resources towards autonomous vehicles, robotaxis and other technologies that it considers central to its future.
Africa strategy under review
Uber’s decision affects Uganda and Nigeria, but the company has stressed that it does not represent a withdrawal from Africa.
The company will continue operating in other major African markets, including Kenya, Ghana and South Africa, suggesting that Uber still sees significant long-term opportunities on the continent.
The decision to close its Ugandan and Nigerian operations therefore appears to reflect a selective restructuring rather than a complete retreat from sub-Saharan Africa.
Uber has been reassessing its operations globally as it seeks to reduce costs and concentrate investment on areas that could deliver stronger long-term growth.
That strategy has become increasingly important as the company moves beyond its traditional ride-hailing business.
Global restructuring
Uber’s Ugandan exit comes at a time when the company is implementing a significant global restructuring.
The company announced plans to cut about 3,300 jobs, equivalent to roughly 10 percent of its global workforce, while reducing management layers and redirecting investment towards priority areas.
Among those priorities is autonomous driving technology.
Uber has increasingly invested in partnerships and technology aimed at developing self-driving vehicles and robotaxi services, viewing autonomous transportation as an important part of the future of mobility.
The company has not said that the Uganda shutdown was directly caused by the global job cuts. However, the timing highlights how the local decision comes against the backdrop of a broader effort to streamline the business and concentrate resources.
For Uganda, this means a platform that helped introduce app-based taxi services to the country is disappearing as its parent company changes direction.
A decade of Uber in Uganda
Uber launched in Kampala on June 2, 2016, making Uganda the 462nd city globally and the 10th in Africa to join its network.
Its arrival transformed the urban transport sector by allowing passengers to request rides through a mobile application rather than relying solely on traditional street taxis or telephone bookings.
The platform introduced features such as digital navigation, cashless payment options and upfront fare estimates, while connecting passengers with independent drivers.
Over the following decade, app-based transportation became increasingly familiar to Ugandans, particularly in Kampala and other urban areas. Uber also provided thousands of drivers with an additional avenue through which to find passengers.
The company’s departure could therefore affect drivers who depended heavily on Uber for income.
Nevertheless, the impact may be softened by the fact that many ride-hailing drivers in Uganda use several platforms simultaneously, allowing them to switch between competing applications depending on demand, fares and incentives.
Competition remains
Ugandan passengers will not be left without alternatives. Platforms such as Bolt, SafeBoda and Faras, together with smaller operators, continue to compete for customers and drivers.
SafeBoda, in particular, has established a significant presence in Uganda, saying it has completed more than 50 million journeys and commands more than a third of the country’s ride-hailing market.
The continuing competition means Uber’s departure is unlikely to bring app-based transportation to a halt.
Instead, it could give competitors an opportunity to attract Uber’s former customers and drivers.
However, the industry continues to face pressure over fares, driver commissions and incentives. Operators must balance the need to keep rides affordable for passengers with the need to ensure drivers earn enough to remain on the platforms.
What Uber’s exit means
For consumers, Uber’s withdrawal represents a loss of choice in an increasingly competitive transport market. For drivers, it removes one source of trip requests but leaves several competing platforms available.
For the wider technology sector, however, the exit raises questions about the challenges international digital companies face when operating in smaller markets.
Uber’s departure does not necessarily mean Uganda lacks potential. Rather, it reflects the company’s decision to concentrate its capital and management attention on selected markets and technologies.
The company said it remained committed to its other African operations and thanked Ugandan customers and drivers for their support.
“Whether it was a morning commute, a ride to see loved ones, or exploring the city, thank you for trusting the platform to connect you to a driver to get you there safely,” Uber said.
After ten years, Uber’s Ugandan chapter has therefore closed not because the ride-hailing model has disappeared, but because the company is choosing a different future—one increasingly centred on autonomous vehicles, robotaxis and markets it believes offer greater strategic value.
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