This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. For an explanation of our Advertising Policy, visit this page.

The world’s biggest ride-hailing company is doubling down on what it sees as the future of its business. Uber CEO Dara Khosrowshahi is investing heavily in bike and scooter share systems throughout the world and thinks that its better suited for inner city travel.

“During rush hour, it is very inefficient for a one-tonne hulk of metal to take one person 10 blocks,” Khosrowshahi told the Financial Times.

The leader of the $62 billion company initiated the purchase of Jump Bikes in April and invested $335 million in Lime, a scooter and bike sharing company. It’s part of Uber’s last mile strategy where it wants to focus on rides, usually from people connecting from public transportation, where it’s a short enough distance for someone to walk, but still long enough where a person would consider ordering a car.

“There’s a $6 trillion mobility market, and no one product is going to be serving that whole market,” Khosrowshahi said.

Uber’s Jump Bikes are already in eight US cities including New York and Washington, DC, and will soon be available in Berlin, Germany. You can rent the bikes through the Uber app, and the company is working to incorporate Lime scooters into its offerings as well.

Although it may not be a large revenue driver right away, bike and scooter sharing is a smart long-term move, according to Khosrowshahi, even for a company that has had trouble turning a profit. The company said that its seeing a huge increase in bike rides and that riders usually prefer bikes over cars if the option is available.

“We’re able to shape behavior in a way that’s a win for the user,” he said. “It’s a win for the city. Short-term financially, maybe it’s not a win for us, but strategically, long term we think that is exactly where we want to head.”

Still, the company faces roadblocks for its car-sharing business. It was recently halted from expanding in New York City. Scooter and bike sharing companies are also seeing pushback from communities who want to implement regulations before the devices are dropped into cities, sometimes overnight.

Drivers shouldn’t be too worried about the increased focus on other forms of transportation — in fact, Khosrowshahi says it may even benefit them.

“When I’ve spoken to our driver partners about it, the first impression was, why are you bringing in a bike to compete against me?” he said. “The second impression after the conversation is, ‘Oh, I get a longer ride where I can make more money? Sign me up.’ ”

Featured image courtesy of Jump Bikes / Uber.

Know before you go.

News and deals straight to your inbox every day.

The Platinum Card® from American Express

WELCOME OFFER: 60,000 Points Terms Apply.


CARD HIGHLIGHTS: Delta Sky Club and Centurion lounge access, $200 annual airline fee credit and up to $200 in Uber credits annually

*Bonus value is an estimated value calculated by TPG and not the card issuer. View our latest valuations here.

Apply Now
More Things to Know
  • Earn 60,000 Membership Rewards® points after you use your new Card to make $5,000 in purchases in your first 3 months.
  • Enjoy Uber VIP status and free rides in the U.S. up to $15 each month, plus a bonus $20 in December. That can be up to $200 in annual Uber savings.
  • 5X Membership Rewards® points on flights booked directly with airlines or with American Express Travel.
  • 5X Membership Rewards points on prepaid hotels booked on
  • Enjoy access to the Global Lounge Collection, the only credit card airport lounge access program that includes proprietary lounge locations around the world.
  • Receive complimentary benefits with an average total value of $550 with Fine Hotels & Resorts. Learn More.
  • $200 Airline Fee Credit, up to $200 per calendar year in baggage fees and more at one qualifying airline.
  • Get up to $100 in statement credits annually for purchases at Saks Fifth Avenue on your Platinum Card®. Enrollment required.
  • $550 annual fee.
  • Terms Apply.
  • See Rates & Fees
Intro APR on Purchases
Regular APR
Annual Fee
Balance Transfer Fee
See Terms
Recommended Credit
Terms and restrictions apply. See rates & fees.

Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.