Uber CEO, Travis Kalanick, Back Off After Urged Shareholder

Uber CEO, Travis Kalanick, Back Off After Urged Shareholder
Uber CEO Travis Kalanick resigned from the company he helped set up in 2009 following a "shareholder uprising" led by some of Uber's most prominent investors. The New York Times reported, as quoted by Techcrunch.

A Uber spokesman confirmed the news to TechCrunch that Kalanick had resigned.

The report stated that the five most prominent Uber investors, including Benchmark, wrote a letter called "Uber Moving Forward", which recommended the CEO to step aside soon. After several hours of discussion, Kalanick agreed to resign.

"I love Uber more than anything else in the world and the difficult time in my personal life, I have accepted investor demand to step aside so that Uber can rebuild rather than be distracted by other disputes," Kalanick said in a statement given to the Times.

Kalanick will continue to hold a position on Uber's board of directors, according to a statement from the board given to TechCrunch.

"Travis always puts the first Uber in. This is a courageous decision and a sign of his devotion and love for Uber By stepping away he takes time to recover from his personal tragedy while allowing the company to fully embrace this new chapter in Uber history. Continue to serve with him on the board of directors. "

Kalanick last week announced that he took leave from the company after the release of Uber's troubled corporate culture report from former Attorney General Eric Holder.

Kalanick cites a recent family tragedy and internal problems in the company as a reason for leave. "I need to take some time off to mourn my mother's death, buried on Friday, to reflect, and focus on building a world-class leadership team . "

Today's move points out that the recent scandal in the company and its threat to Uber's core business has weighed on investors' minds.

Uber has raised more than US $ 11 billion and reported a valuation of US $ 70 billion. Although Silicon Valley investors have shown that they will follow the direction of the founders even in the most turbulent times, recent events have threatened Uber's stability.