AI stocks may look overheated, but Uber’s CEO says the technology is already delivering concrete, measurable benefits for the company.
Speaking on the On with Kara Swisher podcast, Uber chief executive Dara Khosrowshahi said debates around inflated valuations miss the more important point. The real impact of AI, he argued, is happening quietly inside companies through practical applications that improve everyday operations.
“You can debate whether or not there’s a bubble in terms of valuation,” Khosrowshahi said, pointing to the enormous sums being spent on data centres and computing infrastructure. “But for us, AI has created a lot of value.”
That value is not coming from futuristic experiments, but from small, highly targeted improvements. Khosrowshahi cited examples such as how Uber Eats decides what to show a customer after they add an item like oat milk to their basket. Newer AI models, he said, are far more effective than earlier generations and are generating “hundreds of millions of dollars of benefit” for the company.
Uber’s approach has been to sit on top of the AI spending boom rather than compete with it directly. “We are not building the picks and shovels,” Khosrowshahi said. “We’re riding on top of that spend.” He added that Uber’s investment in AI has more than justified itself.
The comments come as AI-related stocks hit record highs, even as sceptics warn of excessive spending. Investors such as Michael Burry have argued that tech giants are pouring too much money into chips and data centres and may struggle to meet lofty growth expectations.
Khosrowshahi described Uber as an “applied AI” company, using the technology across mobility, delivery, and freight. AI is now embedded in pricing, payments, matching drivers and riders, routing, identity checks, and customer support. Around 80 to 90 percent of Uber’s developers use AI tools, and AI agents continuously monitor systems to diagnose issues that previously required teams of engineers working for hours.
Rather than cutting headcount, Khosrowshahi sees AI making engineers more valuable. While some executives may view productivity gains as a reason to shrink teams, Uber is taking the opposite approach. “I just think they become superhumans,” he said, adding that Uber is hiring more engineers as each one becomes more effective.
The CEO also touched on Uber’s growing involvement in autonomous vehicles through partnerships with companies such as Waymo. He said driverless rides are proving popular, partly because some passengers value the privacy of travelling alone. Over time, he expects Wall Street to treat robotaxis as serious revenue-generating assets, with investors looking to place fleets on Uber’s platform to maximise returns.
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