New Uber Hub To Create 3K New Jobs In Texas

Texas Gov. Greg Abbott announced that Uber will receive $24 million from the state to establish a new U.S. General and Administrative Hub in Dallas.

The project will create 3,000 new jobs and more than $75 million in capital investment.

“I am proud to welcome Uber’s investment in the great state of Texas, along with the 3,000 jobs the company will bring to its new Dallas office,” Abbott said in a press release. “This investment will bolster Texas’ continued economic success and reputation as the best state for business. Our unrivaled workforce and business-friendly environment makes Texas the perfect home for innovative companies like Uber.”

Uber CEO Dara Khosrowshahi added: “Dallas became the first city in Texas where the Uber app was available in 2012, and since then Texas has been a hub of innovation for our platform. Uber is excited to bring this major investment to Texas and to increase our commitment to the City of Dallas.”

Dallas County Judge Clay Lewis Jenkins revealed that the deal “will create a $400 million annual payroll in Deep Ellum [a Dallas neighborhood] that will provide a huge boost to our urban core with a positive wave that will spread across our entire county and region.”

Earlier this month, the rideshare giant reported Q2 results that showed bookings were up 35 percent, active users were up 30 percent, trips were up 35 percent and revenue grew by 14 percent to $3.16 billion from $2.76 billion at this time last year. Revenue did, however, come in a bit below pre-release analysts’ estimates of $3.36 billion.

But the big news was Uber’s bigger miss on earnings. Analysts were expecting Uber to post a loss — $3.12 per share — and were taken by surprise by the much larger loss of $4.72. In all, the losses added up to a little over $5 billion in three months. When added to the approximately $1 billion during Q1, Uber has lost a little over $6 billion in six months.