End of the road for Uber app in Malaysia

  • TECH
  • Monday, 09 Apr 2018

End of the road for the Uber rider app in Malaysia.

Ride-hailing service Uber has stopped working in Malaysia following its South-East Asian operations' merger with Grab, though it will continue to run in Singapore and Philippines as regulators address monopoly concerns. 

A check of the Uber app in Malaysia showed a message “unfortunately, Uber is currently unavailable in your area” when attempting to make a booking. 

The Uber driver app also states that Uber and Grab has merged in Malaysia, thus drivers would not be able to take on bookings as of April 8. 

Attempting to go online on the driver app results in an error message “your vehicle is not allowed to operate in Kuala Lumpur”. 

However, UberEats users can still order food and login using their Uber rider accounts. 

It is believed that UberEats will continue operating until May, when GrabFood would be introduced to replace it. 

Grab Malaysia country head Sean Goh said GrabFood would be rolled out by May, and assured that the merger would not affect prices or the experience of both riders and drivers. 

In a media statement, the Competition and Consumer Commission of Singapore (CCCS) said it had ordered that Uber continue operating while it was investigating the Uber-Grab merger, which it had not been informed of.

The Commission said its alternative interim measures sought to preserve competition and market conditions in relation to chauffeured personal point-to-point transport passenger and booking services in Singapore, while investigations continued. 

Likewise, the Philippine Competition Commission (PCC) also ordered Uber to continue operating as the commission reviews the ride-hailing firms' deal, stating that the virtual monopolisation of the market by Grab could harm the riding public. 

Although Malaysian authorities are not blocking Uber from ceasing operations, Minister in the Prime Minister's Department Datuk Seri Nancy Shukri said the Government would be monitoring Grab for possible anti-competitive behaviour. 

On March 26, Grab confirmed it acquired Uber’s South-East Asia operations to merge both ride-hailing companies' operations in the region.

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