Uber has had a very rough year, largely due to situations arising with their former CEO, Travis Kalanick. Travis finally resigned (more or less against his will) in June, and since then Uber has pledged “180 days of change,” in hopes of addressing many of the frustration that their drivers have. Uber has added in-app tipping, and that’s only the beginning of these changes.
There has been a lot of speculation about who Uber’s new CEO will be. So many names have been thrown around, ranging from Obama, to all kinds of tech company CEOs, to a comeback from Uber’s former CEO, Travis Kalanick.
It’s now being reported that Expedia CEO Dara Khosrowshahi will be Uber’s new CEO. This comes a bit out of left field, since he’s not someone I otherwise previously heard mentioned as a contender for the position.
I can’t say I know all that much about him, but here’s what CNNtech shares:
Khosrowshahi took the helm of Expedia when it spun out of InterActiveCorp’s IAC Travel division in 2005. He previously served as IAC Travel’s CEO, as well as IAC’s chief financial officer. Uber been without a chief financial officer since 2015, and the company’s head of finance left the company at the end of May.
Khosrowshahi has also been a member of The New York Times Company’s board of directors since 2015.
Expedia was one of the first tech companies to challenge President Trump’s travel ban in court, citing the potential harm to its employees and customers.
After doing some Googling, it would appear that he was given nearly $91 million in Expedia stock options, which are contingent upon him staying with the company until 2020. Per Fortune:
Khosrowshahi’s 2015 earnings were made up of a $1 million salary, $2.8 million bonus, and $90.8 million in stock option awards. Khosrowshahi’s large pool of option award came because he entered into a long-term employment agreement with the company, stating he would stay with Expedia until Sept. 2020, according to the company’s annual filing.
Uber is worth $69 billion, though continues to bleed money. For example, during the last quarter they had revenue of $1.75 billion and losses of $645 million… and sadly that’s a substantial improvement over their past performance!
It’s still a mystery to me how they’ll actually ever turn a profit, but then again, that’s true of so many tech companies…