The Clap
Uber (NYSE: UBER) launched a new advertising division as it seeks to add additional revenue streams.
The Deets
The company is looking to capitalize on its large user base of 122 million active monthly users by selling ad space within its apps.
With this move, Uber is following in the footsteps of ride-sharing rival Lyft, which is also aiming to diversify its revenue streams.
Why this Matters
Uber set a target of $1 billion in advertising revenue by 2024, as costs may be set to increase following a new law to treat gig workers as employees rather than contractors, ultimately pushing up costs.
