Uber Eats, Robotics Startup Nuro Inks Multi-Year Market Deal, Rolls Out Driver-less Delivery this Fall

After negotiating the deal for almost four years, Uber partners with self-driving vehicle tech startup Nuro to push for driverless food delivery in selected cities in the United States. Recent reports claim that the two companies have agreed to a multi-year partnership.

Uber Inks Multi-Year Deal with Nuro

According to The Verge, Uber Eats customers in California and Texas may soon have their takeout delivered by a driverless delivery pod, following the company's 10-year agreement with autonomous driving startup Nuro.

Customers across the United States, initially in California and Texas, will soon be able to get food delivered to their doorsteps from certain merchants in key Uber markets.

Uber planned to employ Nuro's vehicles for delivery in Houston in 2019, but those plans never materialized. The two companies have now agreed to expand autonomous deliveries to more clients than ever before.

With this innovation, Uber Eats customers will be able to order meals and items to be delivered by Nuro's zero-occupant automated robotic cars, which can operate even on public highways and are specifically designed to transport food and other goods.

According to PR Newswire, this collaboration will begin later this year. In addition to the stated target areas, Nuro wants to establish its delivery service in the San Francisco Bay Area.

"Nuro and Uber share a vision in which technology can make everyday life just a little bit easier," said Noah Zych, Global Head of Autonomous Mobility and Delivery at Uber.

"Nuro's distinctive autonomous vehicles are a great match for the Uber platform, and this partnership will bring a compelling combination of innovation alongside the convenience, affordability, and reliability our customers and merchants have come to expect," Zych adds.

Autonomous Delivery and Driver Shortage

Could this be Uber's first step toward turning totally electronic? If this trend continues, it is not unlikely that food delivery jobs will become obsolete very soon. This action by Uber does not, in any way, benefit its driver base, to put it in perspective.

According to a BBC business report, last August, the ride-hailing app saw a rush of customers signing up for the delivery service. Furthermore, according to Uber CEO Dara Khosrowshahi, about 5 million people are now picking up passengers or making food deliveries for the company, a 31% increase from last year.

Since the COVID outbreak, Uber has been dealing with a driver shortage, which has resulted in higher wait times for clients. Despite rising gas prices, the company saw more people grab the opportunity of driving for the company.

More About Uber Eats and Nuro

Uber Eats is a meal ordering and delivery company that Uber started in 2014. Users may read menus, provide reviews and ratings, and order and pay for food from participating restaurants using an iOS or Android app or a web browser.

Users can also leave delivery tips. Uber charges your credit card on file. Couriers deliver meals in automobiles, scooters, bikes, or on foot. It operates in over 6,000 cities in 45 countries.

Nuro's self-driving, goods-focused vehicles can give customers more time and freedom to accomplish their desires. This convenient and environmentally beneficial alternative to driving has the potential to make cities safer and streets more livable, the company claims.