- In August, a person familiar with the matter told CNBC that Uber will shut down, sell or consolidate the U.S. leasing business.
- Uber executives determined that the average loss per vehicle was about 18 times what they had thought, according to the Wall Street Journal.
"We have decided to stop operating Xchange Leasing and move towards a less capital-intensive approach," a spokesperson told CNBC.
Xchange, a wholly-owned unit of Uber, had operations in U.S. cities including Los Angeles and Atlanta, and leased cars such as the Ford Focus and Nissan Altima.
Uber's decision was hardly a surprise. In August, a person familiar with the matter told CNBC that the company would shut down, sell to a partner or consolidate the U.S. leasing business to make it more efficient. Khosrowshahi was named CEO on Aug. 29, replacing co-founder Travis Kalanick, who was ousted in June.