Why Uber Couldn’t Survive In Nigeria – Reno Omokri

Nigeria’s Ambassador to Mexico, Reno Omokri, has said the development of rail infrastructure should be blamed for Uber’s exit from Nigeria.

Naija News reports that Omokri stated this during an appearance on Channels Television.

According to him, the growing transport infrastructure, particularly rail development in Lagos and Abuja, has made it possible for people to travel to major destinations at a lower cost.

He cited Lagos and Abuja as examples, noting that the Blue Line and Red Line rail services in Lagos, as well as the planned Green Line, had expanded transportation options for residents.

He said, “I’m going to give you an example of Lagos. The business model that Uber has is that they come into your country, and then they bring about mass low-ticket transportation, so that they price out the regular taxis. This is what they’ve done successfully in several countries, including the United States and the United Kingdom.

“They tried that in this country, and it was succeeding. But look at what was happening in Lagos. The infrastructural development in Lagos has been so wide, has been so extensive, that it’s now possible for you to get from point A to point B in Lagos at a fraction of the cost, using the blue line, the red line, and soon the green line is coming up on stream.

“In Abuja, you can get from anywhere from point A. From your station, from this channel station, you can actually get to the airport in Abuja by rail. And so Uber could not compete because of the advancement of infrastructure in Nigeria. So these are the things that you should be talking about.”

Omokri argued that the expansion of affordable public transportation had altered the competitive environment for ride-hailing companies, as commuters now had alternative means of moving around major cities.