Uber to launch monthly subscription in US

Uber to launch monthly subscription in US

Uber has announced plans to launch a subscription for customers in Los Angeles, Austin, Denver, Miami, and Orlando.

The fixed price plan will allow passengers to avoid price surges during peak times and always ride at a fixed price.

The plan will cost $24.99 (£19) a month in Los Angeles and $14.99 in Austin, Denver, Miami, and Orlando.

Product manager Dan Bilen said: “One thing we hear a lot from riders is that changes in price – however small – can make it tough to plan their day with Uber.”

“The daily commute is a classic example, and it goes something like this: you pay one low price for the ride to work, only to find the ride back home is a different story.”

“We want to make Uber a reliable alternative to driving yourself – an affordable option people can use for their everyday transportation needs.”

The Ride Pass will apply to UberX, Uber Pool and Uber Express Pool and will eventually also apply to e-bike and scooter access.

Chief Executive Dara Khosrowshahi has said that the firm is set to go public in 2019 and be valued at about $120 billion.

“We are in a good position in terms of the company’s profile in terms of profitability,” he said earlier this year. “Margins continue to get better. We have a very strong balance sheet, and I do think that we are on track.”

Ride-hailing app Lyft also plans to go public next year. The banks proposed a valuation range of $18 billion to $30 billion.