Uber has decided to exit Nigeria after 12 years of operating in the country, according to TechCabal. The report states that the ride-hailing company concluded the Nigerian market could not deliver the economies of scale needed to support its future ambitions, with the average ride costing around $14. The departure marks the end of more than a decade of Uber's presence in one of Africa's largest economies, highlighting the challenges global tech firms face in sustaining operations in the region.

Uber has exited the Nigerian market, reducing ride-hailing options for both drivers and riders, according to Techpoint Africa. The report notes that the underlying challenges that drove the company's departure from the country remain unresolved, raising questions about the operating environment for similar services in Africa's most populous nation.

Nigeria's ride-hailing market is entering a new phase after Uber ended 12 years of operations in the country, according to Ripples Nigeria. The exit of the global e-hailing company is expected to open opportunities for indigenous platforms and new entrants. Among them is PromiseLand Innovations Limited, which is preparing to launch its ProTaxi service as competition in the evolving transportation sector intensifies.

According to TechTrends KE, vehicle-financing company Moove is considering leaving Nigeria after Uber ended operations there, disrupting the Lagos ride-hailing market that underpinned its model. Moove financed cars for drivers and tied repayments to earnings, so access to a functioning ride-hailing marketplace was central to its original business. The report says Uber’s exit puts fresh pressure on that approach and raises uncertainty about Moove’s future in its founding market.

Uber announced last week that it had withdrawn from Nigeria and Uganda with immediate effect, a move that appeared to give more room to competitors such as Yango, inDrive, Bolt and Little. According to TechMoran, the exit highlights deeper challenges in African ride hailing, including multi-homing by drivers, thin profit margins, and the emerging impact of electric and autonomous mobility, rather than a simple handover of market share to rivals.

Uber shut down its operations in Nigeria and Uganda on the same day it informed staff it was cutting 3,300 jobs to fund its shift toward driverless vehicles, according to Techpoint Africa. The report says the exits halve Uber's operational footprint across Africa. The job reductions and market withdrawals are presented as part of the company's strategy to redirect resources toward autonomous driving technology, marking a significant restructuring of its global business.