If you don’t realise, there is no more Uber and & Uber has merged with Grab earlier this year and now the SG authority are on their trail and the company has being fined S$13 million (as reported by The Star) to be exact it is S$13,001,702!
This wasn’t happened just recently but the investigation from Competition and Consumer Commission of Singapore (CCCS) has started within days of the merger of the 2 companies on the basis that the merger infringed the Competition Act.
It then imposed Interim Measures Directions on March 30 to ensure that drivers and consumers are not affected but seems like that’s not the case. We as a consumer are greatly affected from this merger!
After having “carefully” considered the written and oral representations from the Parties, feedback from industry players, stakeholders and the public as evidence, the CCCS investigation yield the following results:
- Grab increased their effective fare price post merger via decrease in incentives/promotions and changes to reward scheme)
- Grab hampered new entrants by imposing exclusivity obligations on car rental companies, some drivers, and taxi companies.
Here is the infographic:
As per according to CCCS, this “final decision and directions open up the market and level the playing field”.
Woooohhh … now this is getting interesting!