Uber annonces UberPool, share a ride and split the cost

Uber dreams about the future where people don't have to buy their own cars. In order to get to their destination, they can opt to use Uber. With this goal in mind, the company is launching a test run to find out if an Uber ride can indeed slash the person's riding expenses by half.

"The idea is simple. With UberPool, you share a ride - and split the cost - with another person who just happens to be requesting a ride along a similar route," Uber says in a blog post.

The company will find a match between two or more people looking for a ride. If the riding time and the route are found to be agreeable on both sides, Uber confirms the ride. The riders will receive a notification that shows the name of their co-rider. The fare will then be split between the two.

It's a win-win situation because with or without a co-rider, Uber would still offer a ride discount. "On average, uberX already costs 40 percent less than taxi," Uber said. "In San Francisco, how about $6 to Uber from the Castro to the Financial District? Or $10 from Sunset to SOMA? At these price points, Uber really is cost-competitive with owning a car."

While it is true that the feature will cut huge costs for passengers, there are those who may not welcome the idea of riding with a stranger nor getting picked up by the driver. Uber retaliated that the new feature can also be treated as a type of "social experiment."

Currently, the company doesn't have much data on how people will respond to the new service. For this reason, Uber is launching the service in few select markets Prior to launching, the company had started rolling out the service in private beta. On August 15, it is launching as a public beta in the San Francisco Bay Area. The choice location may just be a smart move for the company knowing for the fact that San Franciscans are mimicking New Yorkers in their skepticism towards owning a car. Sam Altman from YCombinator believes that using the Uber service is definitely less expensive compared to owning and driving his Tesla vehicle.

Getting riders together in a single vehicle, with each rider wanting to cut on riding costs, is not entirely a novel idea. Uber is one company that never ceases to develop new opportunities to meet the increasing needs of the riding public while keeping a competitive stance at the same time.

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