Uber is shutting down alcohol delivery app Drizly, the company confirmed, three years after acquiring the platform for $1.1 billion.

Drizly will officially shut down at the end of March, Uber told The Associated Press. That means orders are open until then, Drizly said in details posted on X, the platform formerly known as Twitter.

"We'll be sure to let you know when it's last call," Drizly wrote in a post Monday. In a prepared statement, Uber's senior vice president of delivery Pierre Dimitri Gore-Coty said that the company decided to close Drizly's business and "focus on our core Uber Eats strategy of helping consumers get almost anything — from food to groceries to alcohol — all on a single app."

Uber purchased Drizly in a cash-and-stock deal back in 2021. The Boston-based subsidiary continued to operate as a standalone app, with its marketplace also integrated into the Uber Eats platform.

Drizly currently delivers beer, wine and spirits in states where it's legal, and partners with retailers across North America.

Regulators accused the alcohol delivery app of security failures several years ago that exposed personal information of some 2.5 million customers. To resolve these allegations, Drizly later agreed to tighten security and limit data collection.

Axios first reported on Uber's decision to shutter Drizly Monday.

In a Tuesday email to The AP, Uber said it plans to learn from Drizly's time in the industry as the company continues to grow its own "BevAlc" offerings, which are currently available in 35 U.S. states and 25 countries worldwide. The San Francisco company added that the majority of current Drizly customers also have Uber accounts.

Share:
More In Business
Watchdog Slams IRS Identity Theft Case Delays as “Unconscionable”
An independent watchdog within the IRS reports that while taxpayer services have vastly improved, the agency is still too slow to resolve identity theft cases. And National Taxpayer Advocate Erin Collins says those delays are “unconscionable.” Erin M. Collins said in the report released Wednesday that overall the 2024 filing season went smoothly, though IRS delays in resolving identity theft victim assistance cases are worsening. It took nearly 19 months to resolve self-reported identity theft cases as of January, and Wednesday's report states that now it takes 22 months to resolve these cases.
A.I. Investments Carry Amazon Over $2 Trillion Valuation Threshold
Amazon.com Inc. surpassed $2 trillion in market value for the first time in afternoon trading on Wednesday. The push higher for Amazon’s stock market valuation comes a little more than a week after Nvidia hit $3 trillion and briefly became the most valuable company on Wall Street. Nvidia’s chips are used to power many AI application and its valuation has soared as a result. Amazon has also been making big investments in AI as global interest has grown in the technology. Most of the company’s focus has been on business-focused products.
Load More