Increase Its Electric Vehicle, Uber Collaborates with Arrival

JAKARTA - British bus and electric van manufacturer Arrival will develop an electric car for Uber Technologies Inc., which will be produced by the end of 2023.

Arrival and Uber will also explore strategic relationships in key markets, including the United Kingdom, the European Union, and the United States. This announcement was made by the two companies, Tuesday, May 4.

"The Arrival Car will be an affordable electric vehicle made specifically for ride-hailing, and will go into production in the fourth quarter of 2023," the company said, as reported by Reuters.

Uber plans to become a full electric mobility platform in London by 2025, and across North America and Europe by 2030. The company has raised more than 135 million pounds (188 million US dollars) to help drivers in London upgrade their electric vehicles by 2030. 2025.

"Our focus now is to encourage drivers to use this money to help them upgrade to electric vehicles, and our partnership with Arrival will help us achieve this goal," said Jamie Heywood, Uber's regional manager for northern and eastern Europe, in a statement.

Uber plans to register an additional 20,000 drivers in the UK, along with lifting restrictions on COVID-19 followed by an increase in demand for online transportation services.

Previously, Uber granted 70,000 British driver worker rights, including the minimum wage, after losing a Supreme Court case in March.

What Arrival needs to note is that the fleet will face the high cruising range of Uber's fleet which reaches 50 thousand kilometers per year. It is far from the cruising range of most cars, which only reaches 12 thousand kilometers per year.

However, Arrival said it would prioritize driver comfort, safety, and convenience while ensuring passengers enjoy a premium experience.

Arrival went public in March through a merger with a special purpose acquisition company (SPAC). The startup has so far specialized in trolleybuses and vans.

The biggest public order is up to 10 thousand vans for United Parcel Service Inc., which also has a stake in Arrival.

"We have a great partnership with UPS and we look forward to replicating that success with Uber as we develop the best products for ride-hailing," said Coming Senior Vice President Tom Elvidge who is also a former manager at Uber, in a statement.

Armada Arrival will use a small vehicle platform, which the startup referred to in its investor presentation before publication. Arrival said their electric car would be affordable, without divulging the price.