Late last 12 months, Uber sold its operations in China to a competitorand now it looks just like the Southeast Asian region could also be following an identical path.
Instead of rumors spreading about whether Grab and Under might be under one roof, as Seasia wrote beforeIt was recently reported that ride-hailing company Uber is planning to sell Grab for a major stake in its Southeast Asian operations.
CNBC reports that it’s preparing to strike a take care of Grab, an organization that last 12 months claimed to have 95 percent of the region’s passenger transportation market.
While no agreement has been reached yet, the CNBC report cited two sources with knowledge of the matter as saying it’s imminent. The move mirrors Uber’s strategy in China, where it sold its business to Didi in exchange for a 20% stake.
Grab also provides ride-sharing services in over 100 cities in Southeast Asia. The merger would also allow SoftBank – which has invested in each – to exercise greater control over the worldwide ride-sharing market. Additionally, it also holds shares in Ola, Didi and Brazil’s 99.
Since taking the helm last 12 months, Uber CEO Dara Khosrowshahi has focused on repairing the corporate’s damaged status. In fact, Uber’s settlement with Alphabet’s Waymo’s autonomous automobile unit last week is a minor one.
“We strive to be, and should be, a brand as lovable as Amazon and Google,” Khosrowshahi said at a Goldman Sachs conference last week. He also outlined the corporate’s ambitions, which included tackling food delivery, vehicle autonomy and even buses and two-wheelers.
The former Expedia CEO also worked to fine-tune Uber’s funds to extend profitability. The company recently saw a lack of $4.5 billion for 2017, indicating continued losses to attain the above-mentioned goals.
So let’s wait to see what’s next for Uber and Grab!
Source : engadget.com AND ET online
