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Uber, Lyft awarded multi-year federal transportation contract

Uber, Lyft awarded multi-year federal transportation contract
Posted at 2:58 PM, Nov 23, 2020
and last updated 2020-11-23 14:58:01-05

Uber and Lyft have been awarded a five-year federal contract, estimated to be worth up to $810 million, according to various reports.

The contract was awarded Monday by the General Services Administration, according to both companies.

Although federal employees could use Uber and Lyft in the past, the contract will allow the ride-sharing companies to formally work with federal agencies to launch and promote their services to their roughly 4 million employees.

“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,” Ronnie Gurion, global head of Uber for Business, said in a statement to The Hill.

The contracts were tentatively awarded to Uber and Lyft in April, following a multi-year negotiation process. At the time, according to reports, the GSA said they were able to negotiate discounts between two and four percent.