Lyft Inc.,
grappling with competition and a battered stock price, is tapping a board member as its chief executive, and its two co-founders will step back from managing the company, the ride-sharing company said Monday.
David Risher, who had management stints at
Amazon.com Inc.
and
Microsoft Corp.
before starting a childhood-reading nonprofit in 2009, will take over from
Logan Green,
who co-founded Lyft with current President
John Zimmer.
The pair will retain their seats on the board but not participate in running Lyft day-to-day.
Mr. Risher has been a Lyft board member since 2021.
“The macroeconomy is tough and the world is full of some uncertainty and that’s a real factor for sure and, then, when you zoom in one click, the competitive environment is tough. We have a very aggressive—very aggressive—competitor,” Mr. Risher said in an interview with The Wall Street Journal.
“I think being a strong number two is a good place to be,” he added. “I like where we are, but we’ve got real work to do to fight it out a little bit.”
Lyft shares rose around 4% in after-hours trading Monday after the Journal reported the news.
Lyft has struggled to keep up with its larger rival
Uber Technologies Inc.
Uber now commands 74% of the U.S. ride-share market, up from 62% in early 2020, according to consumer receipts analyzed by market-research firm YipitData. Lyft’s market share has fallen to 26% from 38% over the same period, YipitData shows.
Uber, which has a global and more diversified business, leveraged its food-delivery operations to deal with a driver shortage that crippled the ride-share industry as the economy reopened in 2021. Lyft chose not to get into food delivery and operates within the U.S. and Canada.
Uber moved…
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