Ride-hailing giant Uber has ended its operations in Uganda after about 10 years in the market, as part of a wider global restructuring that will see the company cut about 3,300 jobs.
Uber announced on Wednesday that it would wind down its operations in Uganda and Nigeria effective September 2, 2026, saying the decision followed a review of its business priorities and investment strategy.
"After a thorough review, we have taken the difficult decision to wind down operations in Nigeria and Uganda, effective September 2, 2026," the company said.
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Uber said the decision was limited to the two markets and would not affect its operations elsewhere in Africa.
The company also said it remained committed to Sub-Saharan Africa, describing the region as having strong growth prospects and long-term opportunities.
The withdrawal brings to an end Uber's operations in Uganda, where the company launched its ride-hailing service in Kampala in June 2016.
At launch, Uber said it had signed up hundreds of drivers in Kampala, creating new earning opportunities for drivers and introducing app-based ride-hailing to the Ugandan market.
The company did not publicly disclose the exact number of drivers registered on its platform in Uganda.
Before the withdrawal, Uber's Ugandan operations were centred on Kampala, with the company also listing Jinja among its Ugandan service locations.
The company said its immediate priority was to support drivers, riders and local team members during the transition.
Uber's exit from Uganda comes as the company announced its biggest workforce reduction since the Covid-19 pandemic.
The company plans to eliminate about 3,300 positions, equivalent to roughly 10% of its global workforce of about 34,000 employees at the end of 2025.
Uber Chief Executive Officer Dara Khosrowshahi said the company's rapid expansion over the past five years had created additional management layers, fragmented responsibilities and organisational complexity that had slowed decision-making.
In a message to employees, Khosrowshahi said the company was removing layers, simplifying team structures and refining its global location strategy.
The restructuring is expected to reduce the number of employees seven or more reporting layers below the CEO by 20%, while teams with only one or two direct reports will also be significantly reduced.
Uber is also reducing fully remote positions to about 1% of its workforce. The company says savings from the restructuring will be reinvested in growth, innovation and areas it considers critical to its future.
One of those areas is autonomous mobility. Uber plans to invest more than $10 billion in robotaxis in the coming years as it seeks to position its platform to support autonomous rides.
The company has been expanding partnerships with firms developing autonomous-driving technology as competition in the robotaxi sector intensifies.
Waymo has expanded its autonomous ride-hailing operations in the United States, while Tesla is also pursuing driverless transportation technology.
For Uber, the growth of autonomous vehicles presents both an opportunity and a challenge.
The company's traditional model relies on connecting passengers with human drivers, while widespread adoption of robotaxis could fundamentally change the economics of ride-hailing.
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Uber is therefore seeking to position itself as a platform through which customers can access autonomous rides rather than risk being displaced by companies operating their own driverless fleets.
What the exit means for Uganda
Uber's withdrawal leaves Ugandan users and drivers who relied on the platform looking to other ride-hailing services.
The company had become one of the recognised players in Uganda's growing app-based transport sector since its Kampala launch in 2016.
However, Uber's decision does not amount to a withdrawal from the African continent.
The company said it would continue operating in other African markets and maintained that it remains committed to the long-term potential of Sub-Saharan Africa.
