Menu
Indian ride-hailing app Ola acquires rival for $200 million

Indian ride-hailing app Ola acquires rival for $200 million

Ola acquired TaxiForSure in a cash and equity deal

India's ride-hailing app market is beginning to see signs of consolidation with the largest player, ANI Technologies' Ola, acquiring a smaller rival for US$200 million.

While SoftBank-backed Ola has over 100,000 vehicles on its platform across 67 cities, TaxiForSure, run by Serendipity Infolabs, has over 15,000 vehicles across 47 cities.

Ola is positioned as a mobile app that does not own any of the taxis, nor does it directly or indirectly employ the drivers, all of which are supplied by third parties. It works with driver entrepreneurs, unlike TaxiForSure which deals with a network of cab operators.

TaxiForSure has also focused on the low-end of the market though Ola has also ventured into low-cost three-wheeler vehicles, popularly known locally as auto-rickshaws.

The potential of the market has become evident with Uber Technologies making a pitch for it. But the U.S. company has fallen foul of local authorities after a Uber driver in Delhi allegedly raped a woman passenger in December. Uber was banned in Delhi after this incident.

After the rape, other app based taxi companies have also come under scrutiny. Delhi's transport department has, for example, framed new rules, called the Radio Taxi Scheme that places tighter controls on taxi operators.

The companies will also have to meet a number of conditions including offer a call center, have a registered office in Delhi and an official website with extensive information on its operations, and provide panic buttons in the vehicles.

After the acquisition, TaxiForSure and Ola will operate as separate entities. Ola paid both in cash and equity for the deal.

John Ribeiro covers outsourcing and general technology breaking news from India for The IDG News Service. Follow John on Twitter at @Johnribeiro. John's e-mail address is john_ribeiro@idg.com

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags Internet-based applications and servicesOLATaxiForSureinternetUber Technologies

Featured

Slideshows

Educating from the epicentre - Why distributors are the pulse checkers of the channel

Educating from the epicentre - Why distributors are the pulse checkers of the channel

​As the channel changes and industry voices deepen, the need for clarity and insight heightens. Market misconceptions talk of an “under pressure” distribution space, with competitors in that fateful “race for relevance” across New Zealand. Amidst the cliched assumptions however, distribution is once again showing its strength, as a force to be listened to, rather than questioned. Traditionally, the role was born out of a need for vendors and resellers to find one another, acting as a bridge between the testing lab and the marketplace. Yet despite new technologies and business approaches shaking the channel to its very core, distributors remain tied to the epicentre - providing the voice of reason amidst a seismic industry shift. In looking across both sides of the vendor and partner fences, the middle concept of the three-tier chain remains centrally placed to understand the metrics of two differing worlds, as the continual pulse checkers of the local channel. This exclusive Reseller News Roundtable, in association with Dicker Data and rhipe, examined the pivotal role of distribution in understanding the health of the channel, educating from the epicentre as the market transforms at a rapid rate.

Educating from the epicentre - Why distributors are the pulse checkers of the channel
Kiwi channel reunites as After Hours kicks off 2017

Kiwi channel reunites as After Hours kicks off 2017

After Hours made a welcome return to the channel social calendar last night, with a bumper crowd of distributors, vendors and resellers descending on The Jefferson in Auckland to kickstart 2017. Photos by Maria Stefina.

Kiwi channel reunites as After Hours kicks off 2017
Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow Electronics introduced Tenable Network Security to local resellers in Sydney last week, officially launching the distributor's latest security partnership across Australia and New Zealand. Representing the first direct distribution agreement locally for Tenable specifically, the deal sees Arrow deliver security solutions directly to mid-market and enterprise channel partners on both sides of the Tasman.

Arrow exclusively introduces Tenable Network Security to A/NZ channel
Show Comments