A new rideshare app has come to Colorado to revolutionize how drivers and riders connect and compete with Uber and Lyft on a local level. It is now active in Denver.
Driver's Co-Op Colorado functions similarly to other rideshare apps, allowing riders to request rides and drivers. This new rideshare app aims for better pay and working conditions while also offering riders a cheaper and safer alternative.
"Through the Drivers Cooperative-Colorado, we will earn substantially more income (by paying less of each fare to a corporate middleman) and will enjoy democratic control of our own business," the app states on its website.
The organization charges 20% on all trips to maintain costs (e.g., business licensing, insurance, and app development), with drivers retaining the other 80% of revenue.
Drivers for apps like Uber and Lyft have been frustrated with the "take rate," and riders have seen increased trip costs. According to the Workers' Algorithm Observatory, only about 14% of what customers pay goes to the drivers—when examining data from 13,000 drivers in Colorado. In addition, it was discovered that the base pay for Colorado drivers decreased from $1.50/mile in 2019 to $0.50/mile in 2024.
The Rocky Mountain Employee Ownership Center (RMEOC) has been working to get the app built since 2013. It finally went live earlier this year, on August 29.
"Drivers are extremely happy," said Minsun Ji, executive director of the RMEOC. "This is the dream come true. They are happy because it's all transparent. If you click a ride, it shows exactly how much customers pay and how much you are taking."
Driver's Co-Op hopes to work with other organizations to serve people with disabilities who can't drive or refugees and immigrants who don't have licenses yet. Ji added that over 70% of Co-Op Colorado members are immigrants themselves.
"This is the very first on-demand app that has been developed by community groups right here in Colorado," Ji said. "This can go big. We can actually share this app with so many other cities' drivers. That's our ultimate goal: to share this resource with others."
