Didi Chuxing, China’s leading mobile transportation platform popularly known as Didi has invested an undisclosed amount in Taxify in Europe and Africa in a move that will see it expand its web of influence across the continent and definitely break Uber’s hold on some of these markets where Taxify is gaining ground.
The two did not specify the details about the deal but said they will collaborate to support the Taxify’s further growth and innovation across its diversified markets. The 2013 launched firm is headquartered in Estonia and offers both taxi- and private car-hailing services to over 2.5 million users in major hubs across 18 countries, including Hungary, Romania, the Baltic States, South Africa, Nigeria and Kenya.
Didi brings on board AI technologies and an extensive range of mobility services, including Taxi, Premier, Express, Luxe, Hitch, etc., to over 400 million users in more than 400 cities. In addition to creating over 17 million flexible work and income opportunities for its driver-partners, DiDi leverages its AI capabilities to help cities develop integrated and sustainable smart transportation solutions.
Markus Villig, Founder and CEO of Taxify, said: “Taxify will utilize this partnership to solidify our position in core markets in Europe and Africa. We believe Didi is the best partner to help us become the most popular and efficient transport option in Europe & Africa”.
This is not the firm’s first partnerhip to dominate the world. In December 2015, Didi, then known as Didi Kuaidi, partnered with Lyft, GrabTaxi and Ola to expand their earlier global rideshare agreement formed in September giving them access to nearly all of Southeast Asia, India, China and the United States, reaching nearly 50 percent of the world’s population.
The firms said they would release joint partner products by collaborating and leveraging each other’s technology, local market knowledge and business resources so that international travelers can seamlessly access local on-demand rides by using the same application they use at home. Each company will handle mapping, routing and payments through a secure API, providing the best global experience for the millions of travelers that cross between the U.S., Southeast Asia, India and China every year.
With Lyft making over 7 million rides per month in more than 190 cities, Didi Kuaidi providing 7 million rides per day across 360 Chinese cities, GrabTaxi, the leading ride-hailing platform in Southeast Asia with 95 percent market share in third-party taxi-hailing and more than 50 percent market share in private cars and India’s Ola- available in 102 cities across the country with over a million booking requests a day and $7 billion raised collectively, the group had only Uber to worry about until it began burning up with its own internal sexual harassment allegations.
The partnership now gives them an opportunity to have a greater impact on the future of transport in major cities worldwide. To clear the way for its own expansion, Didi acquired Uber’s China unit and gave Uber and its shareholders a 20 percent stake in the combined entity with Kalanick as part of Didi’s board. The Taxify’s investment is set to change Uber’s course in Africa as well as Europe making it a leader only in the US and DiDi the King of the rest of the world.
Will Cheng Wei, Founder and CEO of Didi Chuxing, said: “Taxify provides innovative, high-quality mobility services across many diverse markets. We share a strong commitment to harnessing the power of mobile technology to satisfying rapidly evolving consumer demands and revitalizing traditional transportation industry. I believe this partnership will contribute to cross-regional smart transportation linkages between Asian, European and African markets.”
Didi Chuxing is good for Africa and Latin America and some markets in Europe as apart from its Taxi hailing business, it has Premier, Express, Hitch, Luxe, Bus, Minibus, Chauffeur, Car Rental, Enterprise Solutions and bike-sharing and as many as 20 million rides were completed on Didi’s platform on a daily basis in October 2016. Didi acquired Uber China in August 2016.