Toyota Motor Corp. will invest $1 billion in Grab Holdings Inc. in the largest bet by a carmaker in a ride-hailing provider.
KUALA LUMPUR: Ride hailing services provider, Grab Malaysia, does not expect much impact on its pricing once the Sales and Services Tax (SST) comes into force on Sept 1, 2018 to replace the Goods and Services Tax (GST).
However, Country Head Sean Goh said the company would continue to monitor the situation very closely and ultimately, balance the tax impact on both passengers and drivers.
“We do not have details on the impact (of SST) yet. Currently, we do not expect pricing to really change. What we are trying to do is try to displace as much of the cost in the system as possible,” he told reporters after signing a memorandum of understanding with Media Prima Digital Sdn Bhd for the launch of Grab’s In-Car Media Platform.
Goh said the company was also actively looking for ways to help drivers earn more, such as through ancillary income, without raising the price of its service.
“Most of the revenue generated from this In-Car Media Platform will be passed on to our drivers because we believe that they will be more productive if we enhance their livelihood,” he said.
The collaboration would see the installation of the very first Grab ln-Car Media Platform in Malaysia, with Media Prima Digital delivering various short-form content suited for free in-transit viewing.
Currently, 250 Grab cars around the Klang Valley has been equipped with the new media platform and the ride-hailing company planned to equip over a thousand cars by the end of 2018.
In a separate development, Goh said the company has been in constant dialogue with the Malaysia Competition Commission since its merger with Uber in March.
“However, there is no issue. It is very hard to actually become anti-competitive in our ecosystem because our biggest competitor is actually car owners.
“Most Malaysians still have cars and the ratio is quite ridiculous,” he added. - Bernama
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