Via Shuts Down Ride-Hailing Services to Focus on Public Transit
- Rides in New York and Washington will cease as of Dec. 20.
- Decision comes after investors valued company at $3.3 billion
Via Transportation Inc.’s shared van service, like all ride-hailing businesses, was decimated at the beginning of the pandemic. It has recently begun showing signs of a rebound this year, but instead of doubling down on what has been its largest and most visible business, the company is shutting down its consumer service altogether.
On Wednesday Via plans to tell riders in its two existing markets, New York and Washington, that it will stop providing rides starting on Dec. 20. The company had restarted its van service in New York, its biggest market for ride-hailing, in July. Despite improving ridership, the ride-hailing industry has been challenged by persistent driver shortages, and giants like Uber Technologies Inc. and Lyft Inc. have spent millions to lure drivers back on the platform in order to meet demand.