Ride hailing platform Uber has shifted to a SaaS subscription-based model for its auto drivers, from a commission-based model. A notification on Uber app informed users that starting Feb. 18, all auto rides will be cash-only. "Given the industry's shift towards a subscription-based model for drivers, we have decided to align our approach accordingly so as not to be at a competitive disadvantage," Uber spokesperson said.
Subscription-based model for auto drivers is being offered by ride-hailing apps such as Rapido and others.
"Uber is making a major shift with its new Auto model, moving towards a SaaS (Software-as-a-Service) approach. Here's what's different... Uber will connect you with nearby drivers, but the service itself is independent of Uber,' the company said in a separate blogpost.
It further said no trip-level commission is charged to drivers and made it clear that Uber only provides the platform.
"Uber does not levy any cancellation charges, Uber suggests a fare, but the final amount is decided by the driver and you," it added.
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