The move is a culmination of Uber's long string of setbacks that included two investigations into allegations of harassment, an exodus of C-Suite level executives and the #deleteuber campaign that reduced consumer trust in the company, among other events.
"In the letter, titled "Moving Uber Forward" and obtained by The New York Times, the investors wrote to Mr. Kalanick that he must immediately leave and that the company needed a change in leadership".
In a statement to the Times, Kalanick said, "I love Uber more than anything in the world and at this hard 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". The company's total valuation tops $70 billion.
The image Kalanick gained of an aggressive leader seeking to grow his company at any cost became an increasing burden as Uber's difficulties mounted.
Travis Kalanick himself issued a statement as well, explaining that "Uber 2.0" was in need of new leadership in order to be successful.
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Bryant seems to have forgotten that he is paid significant amounts of public money to report the news, not to peddle his opinions. Democrats must defend their current districts and win 24 GOP-held seats to regain a House majority next November.
"I love Uber more than anything in the world and at this hard 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". This is a bold decision and a sign of his devotion and love for Uber. "We look forward to continuing to serve with him on the board". With Kalanick still on the company's board, he will likely want to have a say in who's chosen as his replacement, said Bradley Tusk, founder of Tusk Ventures, who was an early adviser to and investor in Uber beginning in 2011.
"Uber couldn't make a credible claim that it was committed to the changes it has to make if he was hovering in the wings, waiting to return as CEO", said Erik Gordon, a technology and entrepreneurship expert at the University of Michigan's Ross School of Business.
Kalanick and other executives were also criticized for the handling of a crisis in India after an Uber driver was arrested for raping a passenger. Mr. Kalanick, 40, consulted with at least one Uber board member and after hours of discussions with some of the investors, he agreed to step down.
The board is now tasked with finding Kalanick's replacement, which could prove to be a tricky process.
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