Uber Enters Hotel Industry with AI Influence

Uber Enters Hotel Industry with AI Influence

2 Min Read

Uber customers in the U.S. can now book hotels directly via the app, a new feature announced on Wednesday, expanding beyond their original ride-hailing services. Introduced at Uber’s Go-Get event in New York City, users will initially have access to over 700,000 hotels globally through a partnership with Expedia Group, previously led by Uber CEO Dara Khosrowshahi.

Uber also plans to integrate vacation rental listings from Vrbo later this year. Uber One subscribers can enjoy 20% discounts on a rotating selection of 10,000 hotels when booked through the app, plus 10% back in Uber Credits.

“We’re no longer just a ride or food delivery app,” stated Khosrowshahi. “Uber is now an app for everything.”

The hotel bookings, AI-powered voice booking feature, and extensive search tool are among new offerings revealed at the event. These ideas transitioned into app functionalities within months, thanks to advanced AI tools like Cursor, stated Uber CTO Praveen Neppalli Naga. He explained this represents a fundamental reset in software development initiated late last year with agentic AI, significantly reducing development and release timeframes.

Typically, a feature like hotel bookings would take over a year to develop, build, test, and launch. Now, with AI workflows, Uber engineers can expedite these processes. “We have lots of ideas, but time and resources are limited,” Naga noted.

At the Go-Get event, Uber also introduced travel mode, offering users guides to tourist attractions, local favorites, and location-specific information. This mode extends to Uber Eats with a “room service” hub for commonly forgotten items and will eventually feature dining recommendations and table bookings via OpenTable.

Additionally, Uber is unveiling “Eats for the Way,” enabling Uber Black customers to order snacks or drinks to be ready in the car upon arrival.

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