Rideshare pioneer Uber is closing its Australian-bred car sharing service, just two and a half years after acquiring the business for $105 million. UPDATE, 1:10pm August 22: Uber Carshare has now confirmed to car owners using its service that it will close on September 12 in Australia, and September 11 in the US and Canada. Our original story, published at 9:30am, has been amended to reflect Uber Carshare’s confirmation of its demise.
In an email sent to owners using the platform, Uber Carshare said it would close due to external factors affecting its business model. “Due to increasing costs and operational challenges associated with insurance, thefts, and vehicle repairs, we’re making changes to our business model. 100s of new car deals are available through CarExpert right now.
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” Uber Carshare was born in December 2022 after the US ridesharing pioneer purchased Australian start-up Car Next Door in January of the same year for $105 million, initially only focusing on operations Down Under though plans were made to take the product to North America. Its business model was shaped as being the Airbnb for cars, allowing owners to rent out their vehicles to users of the app – in theory resulting in less vehicles being owned outright and only used on demand. “Bringing .