Topics
Latest
AI
Amazon
Image Credits:Josh Edelson / AFP / Getty Images
Apps
Biotech & Health
mood
Cloud Computing
commercialism
Crypto
Enterprise
EVs
Fintech
Fundraising
appliance
Gaming
Government & Policy
Hardware
Layoffs
Media & Entertainment
Meta
Microsoft
Privacy
Robotics
security measure
Social
infinite
startup
TikTok
Transportation
Venture
More from TechCrunch
upshot
Startup Battlefield
StrictlyVC
Podcasts
video recording
Partner Content
TechCrunch Brand Studio
Crunchboard
Contact Us
After seeing threefold - digit growing in South Korea , Uber Technologies has announce a strategic program to duplicate down in the country — directly challenging market leader Kakao Mobility , the drive - hail unit of measurement legal age - owned by South Korean electronic messaging and technical school giant Kakao .
Uber chief executive officer Dara Khosrowshahi outline the plans in a press league in Seoul , where he also kicked off a campaign to grow the caller ’s pool of drivers in the land .
That will necessitate to be a major effort . presently Korea ’s ride - hailing industry is dominated by Kakao Taxi , Kakao Mobility ’s consumer service , with more than 23 million register users and a 98 % market part , per Statista .
Khosrowshahi also add together that Uber plans to expand its partnerships with Korean gondola engineering companies , just as it has done in other markets .
It ’s been specially active on that front lately . Last calendar week , Cruise , General Motors ’s ego - drive subsidiary , signalize a multi - year partnership with Uber to bring its robotaxis to the drive - hail platform in 2025.Uber announcedthis workweek it had made a strategic investment in Wayve , a U.K.-based inauguration that acquire software for autonomous drive . Uber already works with Korea ’s Hyundai in other markets likeEurope .
Uber ramp up in South Korea is the latest chapter in the drama that is the country ’s ride - hail market .
Although Uber has gained ill fame around the world for how it has top dog - butted with regulators , in South Korea , more lately it has been the family - grow dominant participant that has had that in question accolade .
Join us at TechCrunch Sessions: AI
Exhibit at TechCrunch Sessions: AI
The land ’s antimonopoly watchdog Fair Trade Commissionfined Kakao Mobility $ 20 million for manipulating its algorithmsto prefer its own taxi enfranchisement in February 2023 . However , it did not file away a complaint with the prosecution then .
But in December last yr , South Korean authorities enquire the antitrust regulator to file a complaint against Kakao Mobilityfor algorithm manipulation favor its own cabs , a repetition of the issue in February 2023 . ( For desktop , the Kakao app let both dealership and non - franchise taxis blame up ride requests . Even if non - franchise hack are closer , enfranchisement taxis can still incur requests from clients . )
Uber has not escape controversy in the country .
Uber open for occupation in South Korea a ten ago , and soon after that , cab drivers set out to organize protests over what they saw as a menace to their livelihood . Seoul city authorities eventually announced it would blackball the divine service in late 2013 .
It start thosesteps months later — although Uber did not completely exit the market . In 2020 , itset up a joint venture with TMAP Mobility , a ride - hail unit of local carrier wave SK Telecom , to make a return in the country . The following twelvemonth , the JV company , called UT , launched its taxicab - hailing service .
Then , while still remaining a JV , thatrebranded as Uber Taxi this March .
As a minor player with probably less than 10 % of the marketplace when you numerate up other hopefuls , Uber has regain itself the underdog in the country , but development is add up at a fast clip at the moment . Uber this week said the number of passengers increase by almost 80 % in the first one-half of 2024 , compared to the same menses last year . Since the rebranding , there has also been a two-fold growth in custom from international travelers .
