Uber CEO Dara Khosrowshahi said the company is aiming to develop vehicles specifically for ride-sharing with automakers.

khosrowshahi says company Vehicles optimized for urban use and for moving passengers and making deliveries are being developed in cooperation with manufacturers. Uber’s boss noted that the company is considering lowering top speeds for vehicles and seating areas where passengers can face each other.

Khosrowshahi in by wall street journal Last week in Davos, Switzerland. “It allows you to reduce the specification, and if you reduce the specification, you can reduce the final cost.”

read: Hertz to offer 25,000 electric vehicles to European Uber drivers under special leasing program

    Uber teams up with automaker to produce dedicated ride-sharing vehicles

While Uber did not specify which automakers it is working with, it has committed to working with U.K.-based electric carmaker Arrival SA to build a vehicle focused on ride-hailing drivers.This is part of its conversion plan fleet used by drivers Electrification in many developed regions of the world by 2030.

The ride-hailing giant is also working to usher in a new era of delivery vehicles. According to Khosrowshahi, it is considering making small two- and three-wheeled delivery vehicles, noting that such vehicles “can move through traffic more easily and have a smaller footprint, both in terms of environmental and traffic footprints, than, say, Drive to deliver groceries.”

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    Uber teams up with automaker to produce dedicated ride-sharing vehicles