Uber has completed its US$2.65 billion purchase of food-and-grocery delivery service Postmates, the company has announced, reported TechCrunch. The deal sees the two companies creating the second largest delivery platform in the US by size, dwarfed only by Doordash.
In a statement, Uber committed to keeping Postmates as a separate, consumer-facing brand, while integrating its back-end into Uber Eats’ platform. Both companies will work to ensure that they can “strengthen the delivery of food, groceries, essentials and other goods.”
The all-stock deal was prompted, in part, by the collapse of Uber’s ride-hailing business in the wake of the COVID-19 pandemic. Postmates’ “beloved” brand is also stronger than Uber in a number of areas, including LA and the south west.
Uber’s purchase of Postmates, while approved by regulators, may cause some nervousness among the drivers and restaurants that use the service. Eater, earlier this summer, said that the deal will “condense the number of delivery app options to three,” reducing people’s ability to take their business elsewhere.
Featured News
Plaintiffs Seek Communications In Antitrust Case Against Pioneer
May 9, 2024 by
CPI
UK Government Approves Vodafone-Hutchison Merger
May 9, 2024 by
CPI
Senate Majority Leader Announces Plan for AI Regulation Framework
May 9, 2024 by
CPI
BBVA Initiates Aggressive Takeover Bid for Sabadell
May 9, 2024 by
CPI
TikTok to Label AI-Generated Content Amid Election Interference Concerns
May 9, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Ecosystems
May 9, 2024 by
CPI
Mapping Antitrust onto Digital Ecosystems
May 9, 2024 by
CPI
Ecosystems and Competition Law: A Law and Political Economy Approach
May 9, 2024 by
CPI
Ecosystem Theories of Harm: What is Beyond the Buzzword?
May 9, 2024 by
CPI
Open Ecosystems: Benefits, Challenges, and Implications for Antitrust
May 9, 2024 by
CPI