Uber sharpens focus on Kenya after exiting Nigeria, Uganda and Tanzania

Uber Technologies Inc. is pulling out of several key African markets, shutting down operations in Nigeria and Uganda months after packing up in Tanzania. The retreat leaves Kenya as the ride-hailing company’s last stand in East Africa, a market it still views as worth the trouble despite crushing fuel costs and persistent operating headaches.

The San Francisco-based firm formally wound down services in Nigeria on Sept. 2, following a strategic review of the business. Its customer support desk will stay open until Sept. 23 to resolve pending account matters, after which the app goes entirely dark in Africa’s most populous nation.

Uber cuts African markets, keeps Kenya

In a notice to riders, the company offered apologies to Nigerians who relied on the service for daily commutes and intercity trips. The departure delivers a sharp blow to the local gig economy, where drivers and passengers alike have wrestled with steep pump prices, aggressive regulatory oversight, and stiff price undercutting from homegrown rivals.

The Nigerian exit caps a steady regional retrenchment. Uber withdrew from Tanzania in January and stepped away from Ivory Coast last year. By giving up on Uganda as well, the company has shrunk its African presence to just four countries: Kenya, South Africa, Egypt, and Ghana.

Yet as its regional footprint contracts, Kenya is getting a closer look. Company executives argue the country holds steady promise, betting that higher consumer activity in Nairobi can offset the tough cost environment squeezing both drivers and riders.

Uber reworks its African strategy

To make the Kenyan business stick, Uber has moved well past ordinary car pickups. The company rolled out electric motorbikes to trim fuel expenses for drivers and launched Uber Safari, letting tourists book wildlife drives through Nairobi National Park straight from their phones.

The African shakeup mirrors belt-tightening at headquarters. Uber is trimming roughly 3,300 corporate jobs worldwide as chief executive Dara Khosrowshahi works to lean down operations and channel cash into self-driving vehicle development.

For African riders, the pullback shows a company growing far more cautious about where it burns cash. Rather than chasing market share across every major capital, Uber is zeroing in on a handful of commercial hubs where it still sees a clear path to turning a profit.