Uber launches ride-hailing services in Cambodia

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Ride-hailing apps are popular in Cambodia (here the local Uber-like service iTsumo)

Uber’s application launched in Phnom Penh on June 23 with a pilot service, leaving Thailand the last country in ASEAN where Uber is being cracked down by transport authorities on strong opposition by the conventional taxi driver lobby which complains that Uber “disrupts the traditional public transport system.”

In Cambodia, things are cooler and people more used to adaptations. Uber launched a “test-mode” version of its smartphone application in Phnom Penh, bringing it a step closer to becoming the first international ride-sharing company to operate in the country.

A number of people participated in a testing phase for the company, getting free rides from Uber drivers on the streets of the capital, while LinkedIn showed four Phnom Penh-based jobs advertised by Uber’s local subsidiary in Cambodia

The Cambodian launch represents the US company’s latest foray in Southeast Asia after the ride-hailing giant established operations in Myanmar earlier this year. Uber is also available in neighbouring Laos and Vietnam, as well as in Singapore, Malaysia, Indonesia, the Philippines and even Brunei.

Cambodia, like much of the world, does not have a specific law for ride-hailing platforms. To get things right, Uber representatives met with transport minister Sun Chanthol and municipal officials last April to discuss the company’s business model and local regulations, according to state officials.

Southeast Asia with its young population and crowded cities is a top expansion target for Uber, but the US company also faces stiff competition in the region. most of all from Singapore-based Grab and Indonesia’s Go-Jek. In Cambodia, other popular players are PassApp Taxi which allows the booking of both taxis and tuk-tuks, as well as Exnet Taxi Cambodia, Choice Taxi and iTsumo.

A study by Google and Singapore state investment fund Temasek predicts that the ride-hailing market in Southeast Asia will grow from $2.5 billion in 2015 to $13 billion by 2025, by which time there is a possibility that Thailand will have warmed up the new industry.

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[caption id="attachment_30172" align="alignleft" width="300"] Ride-hailing apps are popular in Cambodia (here the local Uber-like service iTsumo)[/caption] Uber's application launched in Phnom Penh on June 23 with a pilot service, leaving Thailand the last country in ASEAN where Uber is being cracked down by transport authorities on strong opposition by the conventional taxi driver lobby which complains that Uber "disrupts the traditional public transport system." In Cambodia, things are cooler and people more used to adaptations. Uber launched a “test-mode” version of its smartphone application in Phnom Penh, bringing it a step closer to becoming the first international ride-sharing company to...

Reading Time: 2 minutes

Ride-hailing apps are popular in Cambodia (here the local Uber-like service iTsumo)

Uber’s application launched in Phnom Penh on June 23 with a pilot service, leaving Thailand the last country in ASEAN where Uber is being cracked down by transport authorities on strong opposition by the conventional taxi driver lobby which complains that Uber “disrupts the traditional public transport system.”

In Cambodia, things are cooler and people more used to adaptations. Uber launched a “test-mode” version of its smartphone application in Phnom Penh, bringing it a step closer to becoming the first international ride-sharing company to operate in the country.

A number of people participated in a testing phase for the company, getting free rides from Uber drivers on the streets of the capital, while LinkedIn showed four Phnom Penh-based jobs advertised by Uber’s local subsidiary in Cambodia

The Cambodian launch represents the US company’s latest foray in Southeast Asia after the ride-hailing giant established operations in Myanmar earlier this year. Uber is also available in neighbouring Laos and Vietnam, as well as in Singapore, Malaysia, Indonesia, the Philippines and even Brunei.

Cambodia, like much of the world, does not have a specific law for ride-hailing platforms. To get things right, Uber representatives met with transport minister Sun Chanthol and municipal officials last April to discuss the company’s business model and local regulations, according to state officials.

Southeast Asia with its young population and crowded cities is a top expansion target for Uber, but the US company also faces stiff competition in the region. most of all from Singapore-based Grab and Indonesia’s Go-Jek. In Cambodia, other popular players are PassApp Taxi which allows the booking of both taxis and tuk-tuks, as well as Exnet Taxi Cambodia, Choice Taxi and iTsumo.

A study by Google and Singapore state investment fund Temasek predicts that the ride-hailing market in Southeast Asia will grow from $2.5 billion in 2015 to $13 billion by 2025, by which time there is a possibility that Thailand will have warmed up the new industry.

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