SAN FRANCISCO - Uber Technologies Inc . (NYSE:UBER) has decided to discontinue its standalone alcohol delivery service, Drizly, as part of a broader strategy to streamline its delivery offerings. The company announced today that Drizly's operations will wind down by the end of March 2024, with the intention to integrate alcohol delivery into its more widely-used food delivery platform, Uber Eats.
The move to shutter Drizly follows a noticeable decline in demand for alcohol delivery, a service that had surged in popularity during the lockdown periods of the pandemic. Uber's focus now shifts to bolstering its food delivery operations, which have remained a core part of the company's business model.
Drizly, which was acquired by Uber for $1.1 billion, had expanded its services during the pandemic when stay-at-home orders and social distancing measures led to a spike in online alcohol sales. Despite its growth and the significant investment, the service is being phased out in favor of a more consolidated delivery approach.
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