Car service Uber has just cut rates in nearly 50 cities across the US.
Uber's not saying exactly what the rate cut will be, but it's guaranteeing that it will reduce cost for riders while still maintaining wages for drivers.
In fact, the company is making that point a key part of the initiative.
In the past, Uber has implemented price cuts without a guarantee for drivers. However, this time around, we’re trying a new approach. We’re so confident in the earnings gains drivers will see that we’re making earnings guarantees in every city where we’re cutting prices. We feel that it is important for drivers to have this kind of certainty and comfort going into a price cut.
If you live in one of these 48 cities, your Uber ride will now be cheaper.
Salt Lake City
"We expect that these seasonal price cuts will help bring newer Uber markets in line with our larger ones with lower costs for riders, higher earnings for drivers, shorter wait times for both, and a better experience for all," says Uber.
Will the company take a loss at times due to this new pricing structure? Perhaps. But it's clear that Uber is looking to grow its user base and fight off the competition – apparently that's what matters right now.
Image via Uber