Uber India to invest another $1 b |
American cab-hailing app company Uber may soon invest another $1 billion (around ₹6,688 crore) in India to outpace Bangalore-based rival Ola, as the company looks to expand operations in new cities, increase fleet size, subsidise rides and incentivise drivers. This is in addition to the $1 billion that Uber founder Travis Kalanick had promised to invest during his India visit in January.Uber recently announced a deal to sell its China business to local rival Didi Chuxing for an ownership stake of 18% in the combined China entity, valued at $35 billion, with Didi also buying a $1 billion stake in Uber.After it exited China, India has become Uber’s second-largest market by the number of trips it clocks.India is an under-penetrated market when it comes to cars – 30 vehicles for every 1,000 people. Uber’s India head Amit Jain however, said Uber’s focus on India is absolute. During his visit to India in January, Kalanick had said Uber will double the investment in the country if the growth is fast and there is substantial return-on-investment. Uber recently added over a 1,00,000 vehicles, taking its total fleet size in India to 4,00,000 cabs.
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