Hoping to fend off a post-holiday slump, Uber is cutting prices in 100 cities around the country and in Canada.
The San Francisco-based ride-hailing start-up announced the move in a blog post Friday, making this the third-straight year Uber has slashed fares to stave off the holiday blues. Uber did not specify which cities would feature the lower fares.
The price cuts come as the Uber is managing a growing fleet of drivers, increased competition and high hopes from a growing circle of investors. Sources on Monday told CNBC that Uber is seeking new capital from Morgan Stanley's network of high-net worth clients. Retail investors could pledge a $250,000 minimum to the company. Sources said Morgan Stanley investors would join funders previously leaked to outlets like The New York Times in December, which reported that privately owned Uber's valuation was $62.5 billion.
Meanwhile, competition from peers including Lyft is only increasing in a transportation industry that collectively is transforming quickly.
Last week, General Motors and Lyft said they are forming a partnership that could help them beat their rivals to the self-driving future. Lyft said that GM invested $500 million in the company as part of a $1 billion round of fundraising.