Uber and Lyft has recently bagged a transportation contract with US government. Under the contract the companies said to provide transportation to up to 4 million federal employees and their families.
The General Services Administration, the procurement arm for the federal government, granted the five-year contract to Uber and Lyft, the companies confirmed. The contract is worth up to $810 million, though it’s unclear how much each company will receive.
Global head of Uber for Business, Ronnie Gurion said: “The expansion of our customer base to include government is a natural next step for us, and we’re proud to help federal agencies tackle some of the biggest administrative challenges they face.”
Lyft also got the contract as a good sign for the growth of its business. A LYFT spokesperson said: “Lyft already works closely with select agencies, but with this award under our belt, we see an opportunity to be the preferred rideshare partner for many other top federal agencies.”
The contract with Uber and Lyft modernizes official travel and will make it easier, and cheaper, to use rideshare services for official travel, Federal Acquisition Service Assistant Commissioner for Travel, Transportation and Logistics Charlotte Phelan wrote. “No new apps to download – and no paper receipts to lose.”
