Uber Launches On-Demand Car Service in Detroit

records on file, aren’t anonymous, and tend to be “very mature professionals.” Graves says there will be no bullet-proof glass or small trays for passengers to slide their money into, which is standard in most Detroit taxis, because that would take away from the Uber experience of having your own personal chauffeur.

Uber has often incurred the wrath of local taxi operators when it sets up shop in a new city. In fact, as Xconomy Boston reported a few weeks ago, a lawsuit filed there on behalf of cab companies against Uber charges it with violating several state and federal regulations. It’s not the first time Uber has run into opposition from the taxi industry across the country, but Graves feels fairly confident that there won’t be a ruckus in Detroit. For one thing, he says, they’ve heard from a lot of taxi drivers who want a job and asked them to come to Detroit.

“In Detroit, we’re good from a regulatory perspective,” he says. “Can I promise there won’t be pressure from taxi drivers? No. But taxi drivers are potential partners for us. I don’t know what will come—we’ll keep our ears to the ground, but we’re happy with the interest Detroit has in us coming here.”

Uber will start with a fleet of 40 to 50 cars in Detroit. The company will partner with existing chauffeur and limo companies to build its fleet. Uber makes its money by taking a percentage of the fare for each ride, and it operates in 30 cities globally. In Detroit, two full-time staffers will work out of the Madison Building in downtown Detroit.

So far, Graves adds, the soft launch has gone very well. Detroit Lions football star Ndamukong Suh was the company’s first rider, he says, “which was really great. For us, being in Detroit is a learning experience. This is not dropping a San Francisco product into Detroit, it’s building a Detroit product. From day one, we want to be in and of Detroit.”

Author: Sarah Schmid Stevenson

Sarah is a former Xconomy editor. Prior to joining Xconomy in 2011, she did communications work for the Michigan Economic Development Corporation and the Michigan House of Representatives. She has also worked as a reporter and copy editor at the Missoula Independent and the Lansing State Journal. She holds a bachelor's degree in Journalism and Native American Studies from the University of Montana and proudly calls Detroit "the most fascinating city I've ever lived in."