Ride-sharing is going global. And Uber may have to share more of its market. China’s Didi is now betting against Uber in Brazil.
It is investing heavily in the U.S. company’s rival- a Brazilian homegrown startup, 99.
CGTN’s Lucrecia Franco reports. Follow Lucrecia C. Franco on Twitter @LucreciaFranco
China's Didi bets against Uber in BrazilAlessandra Navarro is a registered taxi driver in Rio. For the last two years, she has been mainly driving for Brazil’s largest ride-hailing service, 99, which she thinks it’s much better than its rival, Uber.
Alessandra Navarro is a registered taxi driver in Rio. For the last two years, she has been mainly driving for Brazil’s largest ride-hailing service, 99, which she thinks it’s much better than its rival, Uber.
When Uber began operating in 2014, Brazil quickly grew into Uber’s third largest market worldwide. But 99 expected to fend off competition with a big boost from China’s largest ride-hailing app — Didi Chuxing.
A Didi-led investment group will put more than $100 million into 99. With this investment, Didi became the undisputed leader in two of the world’s biggest emerging markets — China and Brazil.
Didi’s huge investment in Brazil’s 99 service was the company’s first incursion into Latin America, a move that has been welcome, especially by Brazilian taxi drivers.
99 is ambitious. Dominating Brazil was just the start of its expansion plans.
99 is still ahead of Uber with 10 million users in 550 cities across Brazil. 99 expects to expand its lead with Didi’s know-how.
Industry analysts see Didi’s Brazil investment as part of its plans for global expansion. Didi now owns a piece of every major ride-hailing app in the world.