After founding UBER in 2009, and successfully building it into a transportation colossus, Travis kalanick has resigned yesterday as the CEO of the company. This, according to reports, is as a result of a shareholder revolt which made it not too wise for him to stay on as the company’s Chief Executive.
Earlier on Tuesday, five of Uber’s major investors had demanded that the chief executive resign immediately. One of Uber’s biggest shareholders, the venture capital firm Benchmark, which has one of its partners, Bill Gurley, on Uber’s board was party to this decision. The investors sent a letter to demand for Mr. Kalanick’s resignation as the chief executive. The letter was delivered to him while he was in Chicago. This is according to the people who are aware of the current situation.
NYTimes reports that the letter titled “Moving Uber forward” told Mr. Kalanick that he must immediately leave and that the company needed a change in leadership. Mr. Kalanick, 40, then consulted with at least one Uber board member and after holding a long discussion with some of the investors, he decided to step down. However, the founder and former CEO will remain on Uber’s board of directors, as expected.
Mr Kalanick, in a statement, said that “I love Uber more than anything in the world and at this difficult moment in my personal life I have accepted the investors request to step aside so that Uber can go back to building rather than be distracted with another fight”. I think i am impressed by the passion and love he has for his startup. This is what any startup founder who possesses the passion to keep seeing his ‘baby’ grow would do.
Uber’s board made known in a statement that Mr. Kalanick had “always put Uber first”. They also siad that his stepping down as chief executive would give the company “room to fully embrace this new chapter in Uber’s history.” An Uber spokesman refused to give comments on the development.