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Uber Closes $810 Million Deal with Government and more Uber News

by Alan Daniel
Uber Government Deal

What Happened with Uber?

Uber Technologies Inc. recently announced an $810 million deal with the General Services Administration. The General Services Administration is a branch of the government that provides foundational services for the United States government. The L.A Times notes “politicians and campaigns have for years relied on Uber for rides to and catering for their events, but the decision Monday is the first clearance for federal agencies to sign contracts with the company.”

Further, the company has also launched several new services as it continues to expand and grow to become a relevant company.

  • Uber Connect – Uber connect is a peer to peer delivery platform that lets you send goods from location to another. The delivery service is present in more then ten cities and countries like Australia and Mexico.
  • Uber Work Hub – This new platform lets current Uber drivers find essential work in select cities.
  • Uber Direct – This service allows small business consumers to obtain goods from local businesses who use Uber for that service.

Why Does it Matter?

That’s not a major deal but it is something to think about as we watch and view how Uber becomes a long-term company. It has already made more moves to connect and become a critical part of infrastructure by working with cities such as Dallas to have pick up and drop off zones near public transportation. It fought the government to get established and now looks like it will become a long-term partner as we move into infrastructure 4.0.

We know that Uber is a part of the culture. At least, it was a main part of the culture before COVID-19 and social distancing came into play. Thankfully, it looks COVID-19 is peaking different hard hit areas and governments think that we may be in the clear over the next few months.

In the meantime, Uber must bounce back and offer other services to utilize their workforce and help them earn in these volatile times. That is why it is offering work programs and these new services to the public. It is also seeing an uptick in the general food and drink segment.

While the general ride hailing service of Uber is down in most areas, the food and drink delivery aspect of the service is going strong. Uber customers are supporting restaurants through new features on Uber platform and continue to order through the service during COVID-19 helping restaurants stay afloat.

These different movements matter because it shows that the company is seeking to stay nimble and agile and wade through economic storms. An uptick in Uber activity is a return to normalcy.

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