As a beleaguered Uber deals with internal issues at its headquarters in the US, they find themselves facing a competition in many parts of Southeast Asia. Enters Grab.
Founded in 2012, Grab has quickly established itself as a viable opponent in the car/ride services industry. The company is currently operating in countries such as Malaysia and the Philippines.
In order to go after an opponent such as Uber, Grab’s executive has come to recognize that first and foremost, the company needs to offer more value for the customer. The company’s success is clear based upon the fact they occupy the spot as the region’s top-rated ride-sharing company.
With designs on continuing its dominance in Southeast Asia with and eye for reaching out into parts of the world, Grab chief executive officer Anthony Tan was thrilled to announce the firm has raised $2.5bn (£1.9bn) in fresh funds from two primary foreign investors.
China’s Didi Chuxing will reportedly be investing up to $2.0bn to top the list. The next largest investor will be Japan’s software giant Softbank, coming in with as much as $400 million, followed by a mixed group of investors that will be covering the other $500 million.
According to Tan, “With their support, Grab will achieve an unassailable market lead in ride-sharing, and build on this to make Grab-Pay the payment solution of choice for Southeast Asia.”
In other Grab news, Grab and Uber have both been under pressure from the Philippines’ LTFRB for not having its drivers properly registered. After reportedly threatening to shut down both operations in the Philippines as of July 26 if the proper paperwork wasn’t submitted, the LTFRB was forced to suspend such sanctions as both ride-sharing companies paid the required 5,000,000 PH Peso fine and subsequently applied for “reconsideration” of the LTFRB’s ruling.