The ride-sharing market is divided into two parts: Uber and those other guys. With billions in funding coming in every few months, and a valuation that could be as high as $65 billion, Uber is the undisputed leader at the moment, and its sheer dominance in the market has caused “those other guys” to join forces wherever they can. Competitors like Didi Huaidi, GrabTaxi, and Lyft have been forming partnerships left and right, including ones that take them overseas, in order to compete with the behemoth that is Uber.
The international alliance of Uber Technologies Inc.’s ride-hailing competitors is growing stronger. San Francisco startup Lyft Inc. confirmed Thursday it is teaming up with Southeast Asia’s GrabTaxi Holdings Pte. Ltd. and India’s Ola to allow users of each app to hail rides from drivers of the other apps while they are traveling to the other country. Lyft and Chinese startup Didi Kuaidi Joint Co. announced a similar arrangement in September, when the Journal also reported that they were in talks with GrabTaxi and Ola. Each service will collect payments from its own users in their native currency so that, for example, Indian visitors to the U.S. can open their Ola app to order and pay for rides on Lyft, after which Ola will remit that money to Lyft. The companies said the connected system will go live in the first quarter of next year. The alliance will connect four services in nine countries, potentially bolstering the competitive field against the much larger Uber. Now in 350 cities around the world, Uber is currently raising up to $2.1 billion more in funding at a valuation as high as about $65 billion, according to a document reviewed by the Journal.
