Arrival and Uber Collaborate on Electric Vehicle for Ride-Hailing

Arrival, the electric vehicle manufacturer pioneering a shift away from conventional assembly lines towards highly automated microfactories, is joining forces with Uber to develop a dedicated EV tailored for ride-hail drivers.

Vehicle Design and Production Timeline

The final vehicle design is anticipated to be unveiled before the year's end. Production is currently scheduled to commence in the third quarter of 2023.

Uber drivers are actively involved in the design process, ensuring the resulting vehicles precisely meet their operational requirements.

Uber's Commitment to Electrification

This partnership supports Uber’s commitment to transition to a fully electric mobility platform. The company aims to achieve this goal by 2025 in London, by 2030 in North America and Europe, and platform-wide by 2040.

Uber Green, a recently launched initiative, allows passengers to choose electric vehicles without incurring additional costs. Simultaneously, it offers drivers reduced service fees as part of an $800 million investment aimed at increasing EV adoption among its driver network.

Incentives and Financial Assistance

To accelerate the growth of its EV driver base, Uber is enhancing incentives for drivers seeking to purchase or finance new electric vehicles.

The Arrival vehicles may be recommended to Uber drivers considering a switch to electric power, particularly those in London who qualify for “EV Assistance” through the company’s Clean Air Plan, established in 2018.

However, an Uber spokesperson has not yet confirmed the specific methods for making the Arrival cars accessible to drivers.

Previously, in September, Uber partnered with General Motors to offer discounted pricing on the 2020 Chevrolet Bolt to drivers in the United States and Canada.

Statements from Uber Leadership

Jamie Heywood, Uber’s regional general manager for Northern and Eastern Europe, stated, “Uber is committed to helping every driver in London upgrade to an EV by 2025, and thanks to our Clean Air Plan more than £135m has been raised to support this ambition.”

He further added, “Our focus is now on encouraging drivers to use this money to help them upgrade to an electric vehicle, and our partnership with Arrival will help us achieve this goal.”

London's Zero Emission Goals

London, the base of operations for Arrival, is striving for a completely zero-emission transport system by 2050.

Plans include the implementation of zero-emission zones in central London and town centers starting in 2025, with subsequent expansion to inner London by 2040 and city-wide coverage by 2050.

Electric vehicles will become a necessity for drivers wishing to operate within the most congested areas of the city.

Arrival's Expansion into Electric Cars

This collaboration with Uber represents Arrival’s initial venture into electric car development.

Currently, Arrival’s focus lies within the commercial vehicle sector, with existing models consisting of vans and buses.

The company has already secured an order from UPS for 10,000 purpose-built vehicles.

Innovative Manufacturing Approach

Arrival aims to revolutionize the design and manufacturing processes for commercial electric vehicles.

By developing its own batteries and components internally and utilizing a network of smaller microfactories, rather than traditional large-scale facilities, Arrival asserts it can produce vehicles more rapidly, affordably, and with a reduced environmental impact.

Public Trading and Market Entry

The company commenced public trading in March following a merger with CIIG, utilizing the SPAC route – a method increasingly favored by EV companies as an alternative to traditional IPOs.