- Uber Technologies Inc (NYSE: UBER) is reportedly planning to invest $150 million into a joint venture with South Korea-based SK Telecom Co Ltd (NYSE: SKM) as part of a joint venture. These are the details.
Uber Technologies Inc (NYSE: UBER) is reportedly planning to invest $150 million into a joint venture with South Korea-based SK Telecom Co Ltd (NYSE: SKM) as part of a joint venture, according to Bloomberg. This investment is reportedly part of a plan to expand Uber’s service and fend off regulatory pressures in South Korea.
SK Telecom is going to split off its ride-hailing operations called T Map Mobility Co. Ltd on December 29. This new company will oversee the T Map, T Map Taxi, T Map Parking, and T Map Public Transportation operations. SK pointed out that T Map Mobility is valued at about KRW1 trillion (about US$875 million) and it is expected to be worth KRW4.5 trillion (about US$3.94 billion) by 2025, reported Light Reading.
The plan is for Uber to invest around $50 million in T Map Mobility and then follow that up with $100 million in the joint venture after that. Uber will own 51% of the joint venture and SK will have 49%.
Operations are expected to start in the first half of next year. And the service will have about 200,000 drivers and 750,000 taxi users per month.
