Uber’s sudden exit from Nigeria has opened a new battle for market share, with rivals Bolt and inDrive moving to strengthen their positions in the country’s ride-hailing industry.
After about 12 years of operations in Nigeria, Uber announced its departure on September 2, citing “evolving business priorities and investment focus across the continent”.
The exit leaves rivals competing for drivers, riders and investors in a market with more than 200 million potential customers.
inDrive said Nigeria remains a key African market, noting that its active user base has continued to grow year-on-year.
The company said it has made significant investments in Nigeria and plans to invest further in service quality, safety, technology and local communities.
Its Nigerian operations, it added, now extend beyond ride-hailing to services including Economy and Courier.
Bolt also reaffirmed its commitment to Nigeria, describing the country as an important market.
The company said it would continue providing mobility solutions for riders, creating earning opportunities for drivers and supporting the development of Nigeria’s mobility ecosystem.
Teddy Appa-Dankyi, senior general manager, Bolt West Africa, said the company had built a strong community of riders and driver partners and would continue strengthening its operations.
Uber’s exit catches rivals by surprise
inDrive described Uber as a “strong and significant competitor”, saying its departure came as a surprise.
The company said competition had pushed it to continuously improve its products and services.
inDrive also said it was prepared to welcome Uber drivers and mobility investors affected by the exit.
“We also welcome drivers and mobility investors who may be affected by Uber’s exit to join the inDrive platform and continue serving passengers across Nigeria,” the company said.
The platform said its goal was to offer drivers flexible earning opportunities while maintaining affordable and reliable mobility services for passengers.
Bolt, meanwhile, acknowledged that Uber’s exit could create uncertainty but said it remained focused on the long term.
“We will continue working closely with our drivers, riders, regulators and other partners to contribute to a reliable, accessible and sustainable mobility ecosystem in Nigeria,” Appa-Dankyi said.
What is inDrive doing differently?
Unlike Uber, which uses an algorithm to determine trip fares, inDrive allows drivers and passengers to negotiate and agree on the final price.
The company said the model helps it operate effectively in emerging markets where affordability is a major consideration.
inDrive said it charges about 10 per cent in service fees, which it described as one of the lowest rates in the market.
“This model gives both parties greater control and enables them to agree on a price that works for them. Unlike traditional ride-hailing platforms, we do not use algorithms to set ride prices,” the company said.
Drivers demand protection after Uber exit
The Amalgamated Union of App-Based Transporters of Nigeria (AUATON-NG) has called for immediate social dialogue over the impact of Uber’s departure on drivers and riders operating across multiple platforms.
Ayoade Ibrahim, the union’s general secretary, said that it was also seeking a national floor for fares, commissions and deactivation procedures consistent with International Labour Organisation Convention 193.
He said technology should work for riders and drivers rather than leave them dependent on companies that can exit markets following decisions made at their headquarters.
Ibrahim said Uber’s departure was neither a cause for celebration nor nostalgia for drivers, arguing that the company left “on its own timetable”.
He said multinational platforms had demonstrated that they could leave markets when the numbers no longer fit their global plans.
According to Ibrahim, Convention 193 would only become effective in Nigeria if the federal government ratified and domesticated it.
He urged the federal ministries of labour and employment and transportation, as well as airport authorities, to incorporate the convention into their licensing frameworks.
He also called on riders to organise across apps and traditional transport stages to ensure that workers enforce the required standards.
“Uber leaving Nigeria after a decade is the case study. Convention No. 193 is the rulebook that should have been in force before the exit, and must now shape whoever takes the work Uber left behind,” Ibrahim said.
He argued that Uber was able to leave because the rules governing its operations were weaker than the market it helped create.
“For twelve years the platform organised work, set prices, took commission and decided who stayed online. When global investment priorities shifted toward robotaxis and a slimmer map of countries, it wound down the operation,” he said.
Ibrahim said Convention 193 was designed to address a model where labour could be treated as something a company could simply switch off when it exits a market.
He added that the convention could not prevent a company from leaving but would ensure that “while the company is present, and in the market it leaves behind, workers are not disposable code”.
