Entrepreneurship

For his next act, former Uber CEO Travis Kalanick is quietly building a new kind of food-delivery service

Travis Kalanick
Travis Kalanick Getty
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Travis Kalanick, the former CEO of Uber who was ousted from his company in 2017 after a series of scandals and some serious boardroom drama, seems to be making some serious progress with his new startup.

One business unit of Kalanick's new startup is working in the food delivery world. It's opened in some locations, and ramped up to several dozen employees — some of them former Uber employees, as the Financial Times reports.

And, to keep his plans under wraps, employees are reportedly being told that they cannot update their LinkedIn profiles with their new job at his company.

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About a year ago, Kalanick announced that through his investment fund, 10100 (pronounced Ten One Hundred), he had acquired a real-estate startup called City Storage Systems, and installed himself as CEO. City Storage had an interesting mission: It redevelops distressed bits of real estate, like underused parking lots or dying retail locations, into physical sites that support online businesses. 

City Storage was focusing on two niches in particular: the CloudKitchens unit, which builds kitchens for chefs who want to start food-delivery businesses, and CloudRetail, which builds facilities to support online retailers. CloudKitchens is also making software to help run these food-delivery-only restaurants, the FT reports.

It is CloudKitchens that appears to be off to good start, the FT reports. It offers kitchen space for restaurateurs who want to start up their own food delivery service, and is somewhat of a competitor to Uber's own UberEats. Deliveroo, the European food delivery service, also offers a similar shared-kitchen service known as "dark kitchens."

Among Kalanick's new employees is a former senior Uber manager from China, who had been an executive at bike sharing company Ofo, reports the South China Morning Post. CloudKitchens has opened kitchens in Los Angeles, is working on opening them in London, and has property in San Jose, presumably to open operations there.

The food delivery business has been booming. Postmates has filed for an IPO, and Uber Eats is expected to gross $10 billion in revenue, up from $3 billion in 2017, an important business for Uber as it marches towards an IPO of its own.

Kalanick is said to be focused on growing his food delivery fast as he did with Uber, so his entry in this market will be interesting to watch.

A spokesperson for 10100 declined comment.

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Julie Bort was Business Insider's Editor at Large for the Tech team. She loves investigating stories and shedding light on the tech industry's most amazing people.Here's a small sample of some of Julie's work.Former Pinterest employees describe a traumatic workplace where managers humiliate employees until they cry, Black people feel alienated, and the toxic culture 'eats away at your soul'Sex, tequila, and a tiger: Employees inside Adam Neumann's WeWork talk about the nonstop party to attain a $100 billion dream and the messy reality that tanked itInsiders say WeWork's IT is a patchwork of cheap devices and Band-Aid fixes that will take millions to fixWeWork's toxic phone booths were created in-house by its Powered by We business70-hour weeks and 'WTF' emails: 42 employees reveal the frenzy of working at Tesla under the 'cult' of Elon MuskElon Musk works so many hours at Tesla, employees are constantly finding him asleep under tables and desksHow this woman went from a Pizza Hut employee to a founder of a $4 billion startupAn Oracle insider explains how some salespeople gamed the system to sell more cloudTHE TAKEDOWN OF TRAVIS KALANICK: The untold story of Uber's infighting, backstabbing, and multimillion-dollar exit packagesMicrosoft is in talks to buy GitHub, a startup at the center of the software world last valued at $2 billionThe alarming inside story of a failed Google acquisition, and an employee who was hospitalizedInside Facebook's plan to eat another $350 billion IT marketHow a registered sex offender wound up living in an Airbnb hosting unsuspecting guestsA controversial ex-banker is the person who really runs Twitter — and he's gambling the company's future on one risky betSecret passages and skipped meals: Oracle's CEO gave us a rare peek at what it really takes to run a $37 billion companyHP told some employees to choose between becoming contractors with no benefits or being fired without severance'I felt like we were being extorted': Customer says Oracle tried to strong-arm him into a cloud saleHow the queen of Silicon Valley is helping Google go after Amazon's most profitable businessAirbnb host: A guest is squatting in my condo and I can't get him to leaveLIES, BOOZE, AND BILLIONS: How one of the fastest-growing startups in Silicon Valley history raised $580 million then spiraled out of controlGitHub is undergoing a full-blown overhaul as execs and employees depart — and we have the full inside storyWhen she's not writing for Business Insider, Julie can usually be found on the trails, on my mountain bike, or on my skis, if you know where to look.