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Uber Invests $1 Billion In Indian Market
New submitter keithlynpitts writes: Uber is looking to expand its services in India, and will invest $1 billion there in the next nine months. India is the second biggest market for Uber after the U.S. The company hopes their investment will help speed growth in the country, which is already at a staggering 40% every month. "We expect to hit over 1 million trips per day," said Amit Jain, president at Uber India.
Unlimited funding to attract an expected unlimited number of post-IPO suckers.
Article: Uber plans to invest $1 billion
Headline: Uber invests $1 billion
JUST SAYIN
Making a ride sharing app is not the real thing now . The process of engaging partners (drivers) will be the crucial thing in this marketplace. The driver involved in the recent uber rape incident in India had earlier been booked for rape and uber had no clue about this .
In its latest round of funding, Uber raised $2.8 billion, valuing the company at $40 billion. (It is reportedly raising another round of funding, which could value it at $50 billion.)
So? After seeing how VCs "calculate" value, I think you'd get a much more accurate valuation by using tarot cards. They calculate values to justify getting more money and paying themselves their fees. I see absolutely no justification for a $40 billion valuation nor an increase of 10 billion. These people are delusional along with their investors.
Uber expects the investment will contribute to even more rapid growth in the country. It said it's already seeing 40% growth in India every month.
Yeah, because we all know growth is linear and just goes up. And HOW are they calculating this growth. Remember kids, figures don't lie, but liars ....yadda yadda yadda ...
Uber isn't without competition from other car-hailing services in India. The biggest is Olacabs, which has raised $810 million, according to the report.
I'm having flashbacks to the late 1990s.
Increasing market share does not mean in any way increased profitability or even the likelihood of profitability.
The 'call taxi' market, as it is called here in India, is fractured and ripe for disruption. Unions in taxis are very weak. People here do not value privacy over saving a few rupees. RedBus and TicketGoose have made it big in bus reservations. Uber will tie up with Microsoft and Google to plunder the call taxi market.
I helped write taxi dispatch s/w for 3 firms, and I feel Uber will drive out Ola, TaxiForSure and other fringe players...
If you keep throwing chairs, one day you'll break windows....
It's means "it is" is just about the simplest thing I can imagine. Why do you lackwits never get it right?
And create an Uber cartel that simply outbids the taxi drivers for government... ah.. services... yeah... that's it
“He’s not deformed, he’s just drunk!”
I like that you try to keep it on-topic, it's a refreshing change from the usual pointless first posts.
You would rather have India's economy not receive 1bi in investment then? ok.
All depends where the money goes...
“He’s not deformed, he’s just drunk!”
All depends where the money goes...
Good News... per the headline, and TFS, and the related article, it's going to India.
Pretending this is my office full of bitter coworkers..
Yeah? Whose pockets?
“He’s not deformed, he’s just drunk!”
goes toward public education about how rape isn't something acceptable.
THIS.
They are going to invest $1 billion in exactly what? The app? Advertising? Under the table payments to government officials? Considering that they don't have a fleet looks a bit exaggerated.
And create an Uber cartel that simply outbids the taxi drivers for government
Except that ride-sharing is not a cartel. There are no big barriers to entry. Even the "network effect" that allows, say, eBay to dominate auctions, doesn't apply as much to ride-sharing, since both drivers and riders can easily switch between multiple services on a ride-by-ride basis.
Soon all drivers in the country will require an 'Uber' certification and medallion issued by the state. I'm sure the price will remain reasonable.
“He’s not deformed, he’s just drunk!”
Step 1: wait for Uber to come to town
Step 2: let them build some momentum and drop some cash investing in scaling up
Step 3: act outraged when cab companies complain and promise to shut them down
Step 4: drop a lot of fines on them to absorb even more of that phat US VC cash
Step 5: repeat step 4 until the taxi companies, Uber or citizens force your hand into either legitimising them or actually banning them.
This seems to be the tactic of my home town (Brisbane, Australia). Last I saw we'd fined Uber $1.7m, all while pretending they can't be stopped and letting them operate (they just announced they're hiring more staff).
They'll have to provide a better licensing framework at some point - where I am now in Columbus, OH they seem to have a great one - but in the meantime it seems their plan is just to keep fining them to see if they're going to blink first.
As a Brisbaner I love the idea of us taking all that money. As someone that actually wants to go to places though and not be at the mercy of the taxi companies, I hope they negotiate soon and build a framework that takes into account this new age we live in.
And they still can't pay their drivers decently.
Your hair look like poop, Bob! - Wanker.
How does Uber in India work at all?
There are Rickshaw's everywhere and they cost almost nothing. Taxi's are also all over the place, trivial to hire and cost almost nothing.
Just what is Uber going to bring to the market that isn't already there? How could they stop a local Indian company from having it's own ride share app?
What are they competing over? The margins are so low on transportation in India it's almost impossible to imagine how they will make revenue.
I'm amazed how they would convince someone to give them VC funding for Uber in India. India is already awash in almost every service industry imaginable at incredibly low prices. I honestly don't see how they calculate it's worth competing on such low margins.
In a probably not unrelated event, Microsoft has agreed to invest $100 million into Uber.
Soon, stand-up comedians in Mumbai will be complaining: "Have you tried getting a taxi lately? They're all like imitates midwestern American accent 'Howdy, folks, my name is Jim-Bob. Where can I take y'all today?' You can't understand a word they say!"
I am born and living in India.
I have concerns that Uber will do any progressive business in India.
Already the conventional taxi drivers/owners are against Uber.