By G. Mudalige, Jadetimes News
Uber Technologies Inc. remains committed to expanding its presence in South Korea, despite being the underdog to local tech giant Kakao. CEO Dara Khosrowshahi expressed optimism during a recent visit to Seoul, highlighting that Uber's platform is helping taxi drivers earn more and stay busier. Since rebranding its service as Uber Taxi earlier this year, Uber has seen significant growth, with 20% of South Korean taxi drivers now on its platform and passenger usage increasing by nearly 80% year-on-year.
Uber first entered the South Korean market in 2013 but had to pull out due to strict regulations that favored local companies with taxi licenses. However, the company re-entered in 2021 through a joint venture with SK Group, South Korea's second-largest conglomerate, under the brand name UT. The rebranding to Uber Taxi in March 2024 has bolstered its market position, particularly among international travelers, whose usage more than doubled since the change.
Despite Kakao's dominant 90% market share in taxi-hailing, Uber is confident in its ability to grow faster than the market, driven by innovative services and a strong focus on driver and passenger satisfaction.
