Uber has gained popularity in India and many more markets due to their offerings in ride-hailing and food delivery services. Apart from India, Uber provides extraordinary services in Russia, China, and Southeast Asia too. However the contradiction occurs when Uber adamantly declared that they won’t exit Indian market very soon. After such statement, the question raised if Uber wanted to stop their food delivery business or anything else.
People are predicting Uber to exit Indian market in terms of food delivery. Many media reports are confirming Uber’s on the cusp of a tactical exit from Indian food delivery services. Additionally, India’s Economic Times reported that Uber has reached to the final state of a deal with Swiggy.
Swiggy is the prominent food delivery service in India which has raised $1bn. This renowned food delivery service is making its way in expanding to general deliveries such as eat up Uber Eats. According to the deal with Uber, Swiggy is ready to share 10% of their business to the U.S ride-hailing firm. Moreover, Swiggy has already declared to clock value $3.3bn, led by Naspers and Uber investor Coatue.
Uber Exits Grab in Southeast Asia through Handing over Transport and Food delivery Businesses
In 2018, launching Uber Eats crossed $1.5bn in sales, which helped the company to gain a mega revenue. Such success pushed the company in expanding hard in Asia. However the launch of Uber Eats in India about two years ago, left the company in the middle of a dogfight between Swiggy and Zomato.
The fight further intensified by the presence of a peripheral player, FoodPanda, owned by Ola. In such situation, however, Uber’s upcoming IPO helped the company in retaining their stake in the market.