Uber is working with automakers to create customized vehicles for sharing and delivery.

What happened now? Uber is rekindling the love of the automotive industry. During a recent event hosted by The Wall Street Journal, Uber CEO Dara Khosrowshahi said his company is working with automakers to develop electric vehicles that are optimized for urban use and therefore for sharing and delivery.

Uber-inspired car sharing will have a lower top speed and seating where passengers can look at each other. Khosrowshahi said that the maximum speed of many cars today is not needed for city driving. Opting out of this option can reduce the overall cost of the car.

Uber is also considering delivering two-wheelers or three-wheelers with luggage. Their smaller area will make it easier to overcome traffic jams, Khosrowshahi. saidand also have a lower environmental impact than a full-size grocery delivery vehicle.

Khosrowshahi declined to comment on which automakers Uber works with.

Uber was once at the forefront of autonomous driving, fueled by the belief that self-driving cars could revolutionize its business. However, in 2018, one of its self-driving cars with a safe driver behind the wheel was involved in a fatal collision with a pedestrian. Later that year, the company suspended testing, but ultimately sold its self-driving car division of Aurora Innovation for $4 billion.

The Automotive Initiative could also help Uber accelerate its goal of converting its fleet of vehicles used by drivers to electric by 2030.

Khosrowshahi was also one of the first warn rocky waters ahead for big tech companies. In May last year, he announced cost cuts and began cutting hiring. Months went by and we began to see major tech companies lay off thousands of employees in an attempt to fix over-hiring during the pandemic.

Recently, Microsoft said it will cut its workforce by 10,000 jobs by the end of the third quarter of fiscal year 23. Earlier this month, Amazon confirmed it was saying goodbye to 18,000 employees, and Meta laid off about 11,000 employees late last year.

Image credit: Viktor Avdeev, Jean-Baptiste Terrazzoni

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