Uber has just announced an interesting acquisition, and I’m curious to see what the long term implications are…
In this post:
Uber expands into the chauffeur service business
Uber, the world’s largest rideshare company, is acquiring Blacklane, a global chauffeur service company. Blacklane was founded in Berlin, Germany, in 2011, and connects people with independent local chauffeur services via an app and web booking platform.
Much like Uber, Blacklane is a tech company rather than being in the transportation business, as it doesn’t operate its own cars, directly hire drivers, etc. Blacklane currently operates in over 500 cities across more than 60 countries. As Uber explains, executive travel is a fast growing segment of Uber’s business, driven by strong demand for planned rides in premium cars. Pre-booked Uber Reserve trips in particular have become one of the fastest growing parts of Uber’s mobility business.
The deal is subject to regulatory approval, and is expected to close by the end of 2026. After the transaction is complete, the deal is expected to further accelerate Uber’s recently announced entry into the chauffeur sector, with Uber Elite.
The goal is that together, Blacklane and Uber will benefit from each other’s expertise. This is described as being about Blacklane’s “luxury service and specialist knowledge,” combined with Uber’s “global scale and technology.”
Here’s how Uber CEO Dara Khosrowshahi describes this:
“Premium travel is one of the most exciting growth areas of Uber’s business. We want to offer the widest selection of options to meet our riders where they are: from the everyday commute to luxury rides. We’re incredibly impressed by what Blacklane has built and we’re eager to work with them to amplify how we deliver truly exceptional service to more people in cities around the world.”
Meanwhile here’s how Blacklane CEO Jens Wohltorf describes this:
“Blacklane’s growth to date has been founded on consistently excellent service, wherever in the world our guests move. Fifteen years after our vision to make premium travel frictionless, we are bringing luxury hospitality expertise to Uber as a leading player in mobility. This partnership marks a significant milestone in Blacklane’s next chapter and is a powerful step-change in introducing our service to new markets globally.”
My take on Uber’s plans to acquire Blacklane
The timing of this deal is funny, since I just wrote about my experience with Blacklane this morning, whereby the company had the audacity to charge $190 for a 15-minute drive in Geneva, and didn’t even bring the car seat that was correctly requested. That’s neither here nor there…
Anyway, I suppose this acquisition seems logical enough:
- Uber has a market cap of over $140 billion, so acquiring other businesses in the ground transportation space seems logical enough, especially if there are no regulatory hurdles
- Uber seems to be having an increasing amount of success with scheduled rides, and was planning on expanding its chauffeur business, so it’s logical that the company would partner with an existing player, and eliminate a major competitors
- Blacklane is extremely expensive (reflecting the overall trend in the chauffeur business), so I’m curious if Uber’s scale can drive down prices a bit, or what impact that will have; logically some might say that eliminating a competitor will have the opposite impact, but I think the limiting factor here is what consumers are willing to pay
- I am curious about the logistics of this — will Blacklane be rebranded as Uber Elite, or will Uber now consider keeping around the Blacklane name?
- With the recent launch of the Citi Strata Elite and the up to $200 annual Blacklane credit the card offers, I’m sure many of us are curious what this means for that, especially since Uber otherwise partners with Amex
Bottom line
Uber plans to acquire Blacklane, in a deal that’s expected to close before the end of 2026. The idea is that Uber sees potential in the chauffeur business, and Blacklane is a global, existing player. So it’s not unreasonable that Uber would also acquire Blacklane.
I’m rather indifferent about the concept of scheduled chauffeur service and Blacklane, so I don’t have a strong take here. Though perhaps Uber’s technology and scale can help make the operation a bit more streamlined and reliable.
What do you make of Uber acquiring Blacklane?
No . Uber is going to steal its market of Blacklane. Sane tactics as how they killed Taxi cab markets all across the country.
Coincidentally, I was just looking at Blacklane as a way to use some of my Bilt Cash.
Given that Bilt is linked with Lyft, I'm expecting this benefit to die a pretty quick death (and from prior comments, it sounds like it's still not off the ground)
"Blacklane is extremely expensive (reflecting the overall trend in the chauffeur business), so I’m curious if Uber’s scale can drive down prices a bit,"
It could drive down COST, but that doesn't mean it's going to drive down PRICE. Tthat violates every tenet of corporate Vulture Capitalism.
Price will be a reflection of what the market will bear (likely increased due to lower competition), not a reflection of lowered operating costs.
That's what Uber said over Taxi cabs market. Now, Uber is just slightly cheaper than taxi cab. It's a takeover.
I use Blacklane when i need service for my 92 year old mother and unfortunately they tend to be long on promise and sometimes quite short on delivery. When i can reserve a large uber in advance (and that depends on the city) the service is usually as expected (not as nice as Blacklane but more reliable)
Wheely is 100x better than Uber Black, Uber Luxe, Blacklane, Sixt, etc....
I always use Wheely in London, and they are fantastic
@ Gary -- This is what uber was supposed to be when it started -- clean newer cars, professional drivers, no tips. It couldn't be more different than that today with beat up dirty cars, drivers wearing flip flops and dirty sweat pants, and signs begging for tips. There are of course exceptions, and I've noticed the ones with super clean cars that behave professionally are often new immigrants to the USA who are thrilled at the opportunities provided for them.
No, Uber was never conceived for professional drivers. Uber was designed for car owners to make extra cash working part time a few hours a week. It was retired people, students and people with other jobs doing rides on the side to supplement their income. This was the original deal. Professional driver working full time is a complete deviation of the app’s purpose and the reason for the service going down hill.
Incorrect. UberCab was started in SF in 2008 as a black car service. It wasn't until 2011-2012 that it expanded and began to take shape as we now know it, especially with the introduction of UberX.
That was the original pitch - and is still often the use case. It’s why the efforts of their drivers to unionize are such a travesty. They’re just an effort to take supplemental income from people who want to do a job full-time.
Global Airlines boasted of offering Blacklane transfers for First and Biz pax almost two years ago. Interested to see if Uber will honour the commitment - that’s if Global ever start flying.
Oh fabulous, there go my commissions as a Travel Advisor with Blacklane. Not sure how I feel about booking an Uber version of Blacklane for clients overseas
There might be non-compete provisions in the contracts between ride providers and credit card issuers. I sense there might be a rearranging of dance cards (statement credits) as a result of this acquisition. Conceivably, regulatory approval could somehow mandate a loosening of such non-compete provisions.
When Uber started, like 12-15 years ago, it was essentially Blacklane. Or at least Blacklane adjacent. It was in select cities and it was always a limo-like towncar experience. Enshitification happened, as it always does, and we have the Uber of today. Which is now acquiring a company that brings back Uber's original business model. Even Uber Black is "meh" anymore given Uber's definition of what "newer model" or "fancy" is compared to the average users.
This was *never* true in Uber's home market, San Francisco.
Huh, and how timely... did the car-seat issue lead to this?!
As long as we can still burn our $100 semi-annual credits via Citi Strata Elite... and whenever BILT finally allows BILT CASH redemption for this... (but they can't seem to get it up!)
UBER has gotten too big for its boots. I am so sick after waiting for a car, the driver cancels and you have to start over again. I am now using Lyft
My wife and I only use Lyft; never Uber. Back when she traveled regularly on business, she couldn’t help but notice Uber rides were usually anything from scary to shi**y, while Lyft tended to feel cleaner, safer, and more female friendly.
Uber doesn't mind keeping brands around, for example, Postmates is still its own app and service, even though it just mirrors what Uber Eats is.
I think Blacklane maintaining its own identity, while having some improvements from Uber tech is what will happen
They also recently launched Uber Elite and have been pushing their Uber for Business side of the app.
My company joined the Uber for Business last year and our executive admin support recently advised the travel policy is moving away from allowing any independent 'limo' services I lieu of booking through Uber. I'm assuming a significant amount of rides are to/from airports and the move to shift these pickups away from curbside was detrimental to Uber on exec travel.
Most likely Uber sold them and the increased rebates and duty of care potential through Uber for Business portal
Of course Blacklane will become more expensive under uber. But don’t fret, there will be a subscription service and/or tiers to effect pricing. And don’t forget coupons!
Wow… Ben, I assume this is in response to your article about Blacklane this morning… that was quick!! ;)
I guess that's why they are retiring the Amex Platinum Uber VIP moniker (and replacing it with live support - actually could be useful). Probably want "VIP" to be associated with Blacklane. At some point though, Uber Black versus Blacklane VIP... hard to really get too excited about the distinction.
As for the Strata Elite credit, as your recent experience demonstrates, it's a coupon without much of a purpose. Just created additional hassle -...
I guess that's why they are retiring the Amex Platinum Uber VIP moniker (and replacing it with live support - actually could be useful). Probably want "VIP" to be associated with Blacklane. At some point though, Uber Black versus Blacklane VIP... hard to really get too excited about the distinction.
As for the Strata Elite credit, as your recent experience demonstrates, it's a coupon without much of a purpose. Just created additional hassle - extra hoops to jump through that ultimately did not even work, when all that was necessary was hitting a button on your phone to order an uber with a car seat.
In my recent experience with Uber Black, it's hardly VIP. About 1/3 of the time I'll actually get a nice, blacked-out Suburban. Most of the time, though, I get a newer model Toyota SUV or a newish model Honda something-or-other. Hardly VIP, let alone the sort of white-glove service they advertise.
Sure, my point is that UberX VIP was laughably VIP to begin with. So if they are removing the VIP branding from Uber X, perhaps they'll have Blacklane as a VIP tier, special discounts for UberOne members, blah blah blah.
My first thought was the Citi credit. That will obviously have to go away. Please oh please turn into a straight Lyft credit
I've never heard of this company until today. I guess I'm not bougie enough for VIP rideshare.
And now, there's two articles in a single day!
They're the company that Emriates usually turn to for their Chauffuer service (i'd be surpised if other airlines don't also use them).
They're also often used for airport transfers when travelling for work as the breadth of coverage makes it useful for companies that work in a large number of cities, though when I've travelled the company I work for uses local operators instead.