It looks like Grab might finally have some real competition in the local ride-sharing scene.
According to a report by Inquirer.net, DiDi Chuxing, China’s largest ride-sharing company with over 550 million users across Asia, South America, and Australia, is set to enter the Philippines to challenge Grab.
The firm is reportedly in talks with Luis ‘Chavit’ Singson, who happens to own U-Hop and chairs LCS Holdings, which owns several car dealerships. Singson said the plan is to bring the Singapore-based rival’s local monopoly to an end.
“We want to break the monopoly of Grab,” Singson told Inquirer in an interview last week, saying the entry of DiDi Chuxing will lower the prices of rides in the Philippines and offer Filipinos more options.
“We think this will help Filipinos,” he added. Singson has not provided any further details.
The report also points out that DiDi is actually an investor in Grab as well, as the company was part of a $2-billion investment round with Japanese-owned Softbank back in 2017. Softbank owner Masayoshi Son also has stakes in Uber and Ola, a ride-sharing company in India.
Inquirer.net has already reached out to representatives from DiDi and the Land Transportation Franchising and Regulatory Board (LTFRB) for comment, but has yet to receive a reply.
Do you think the entry of this new Chinese ride-sharing platform is good news for the industry? Let us know in the comments.