Two alternative rideshare apps are exploring entry into Minneapolis as Uber and Lyft threaten to depart over a new rideshare ordinance.
Despite not yet applying for licenses, the Drivers Cooperative and Hich have garnered interest from drivers and support from the Minnesota Uber/Lyft Drivers Association (MULDA).
The Minneapolis City Council’s implementation of the state’s first ordinance mandating minimum pay for rideshare drivers prompted the rideshare giants to announce their potential exit by May 1.
However, this development has provided an opportunity for smaller rideshare companies to emerge, promising drivers a larger share of fares.
The Drivers Cooperative, with experience in New York, aims to launch by May 1 and has already enlisted hundreds of drivers in Minnesota.
Meanwhile, Hich, operating predominantly in Africa, is making inroads in Minnesota with a unique compensation model.
Both companies are navigating the licensing process, which includes substantial fees and insurance requirements, with optimism about entering the market despite the potential departure of Uber and Lyft.
