Energy News  
CAR TECH
War of words among China ride-share rivals
by Staff Writers
Beijing (AFP) Jan 11, 2016


The controversial boss of ride-sharing app Uber said Monday its biggest Chinese rival is spending as much as $80 million a week or $4 billion a year on subsidies, intensifying a war of words between the bitter competitors.

"We're clearly spending less than Didi in subsidies," said Uber founder and CEO Travis Kalanick, referring to the homegrown market leader Didi Kuaidi.

"We're spending less per trip, and we have a larger balance sheet."

Both firms raised billions from investors last year as they try to secure their positions in the fiercely competitive market, offering both drivers and passengers subsidies that have proved a boon to Chinese consumers.

Didi dismissed Kalanick's figures as "wildly creative".

The Uber CEO told a press conference announcing a partnership with Chinese conglomerate HNA Group: "Our best information now is Didi is spending 70 to 80 million US dollars per week in subsidies, that's almost four billion a year.

"In the last year we've gained significant market share in China, and spent far less than that. It's not just about how much you invest, it's also about how efficiently you invest it."

Uber China was established last year and has so far committed to spend roughly $1 billion in the country, where it says it is currently active in 22 cities.

Five of the firm's top 10 cities by daily global rides were in China by the end of 2015, it says, with the southern metropolis of Guangzhou at number one.

"We are making significant investments in dozens of cities here in China, and at some point it will be hundreds of cities here in China," Kalanick said.

But the Silicon Valley company -- which has partnered with China's largest search engine company, Baidu -- still lags Didi Kuaidi, which was formed from the merger of two firms backed by the Chinese Internet giants Alibaba and Tencent.

Didi says it has operations in 199 cities. According to a report by Beijing-based Analysys International, in the third quarter of 2015 Didi Kuaidi commanded over 83 percent market share of active users in China, compared to Uber's 16.2 percent.

It said Monday that it completed more than 200 million rides in December, taking its 2015 total to 1.43 billion, the official Xinhua news agency reported.

Didi Kuaidi spokesperson Sun Liang told AFP: "Uber is being wildly creative about our numbers.

"Didi holds over 80 percent of the market, which means our competitor has to bleed subsidies to make up for inadequate numbers of riders and drivers," she said.

"Our numbers show we are maintaining 10 times as big a rider/driver network at one fourth of the rival's unit cost."

Ride-sharing apps threaten old-style Chinese taxi firms, and officials have proposed tighter regulations on them.

bur/slb/sm

Alibaba

HAINAN AIRLINES - HNA GROUP

Tencent

BAIDU


Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor
$5 Billed Once


credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly


paypal only


.


Related Links
Car Technology at SpaceMart.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle

Previous Report
CAR TECH
VW chief hopes to shift gears in Detroit
Washington (AFP) Jan 8, 2016
When the world's leading carmakers unveil glitzy new models at the Detroit auto show next week, Volkswagen's chief executive Matthias Mueller will be in town on a less glamorous mission. In his first US visit since American regulators said VW cheated pollution tests, Mueller will apologize over a scandal that plunged the German auto giant into the deepest crisis of its history and could cost ... read more


CAR TECH
Global electricity production vulnerable to climate and water resource change

Improving electric motor efficiency via shape optimization

Cool roofs in China offer enhanced benefits during heat waves

US Christmas lights use more energy than entire countries

CAR TECH
Desert sand from UAE efficiently stores thermal energy

Creation of Jupiter interior, a step towards room temp superconductivity

Hoverboard sparks house fire in Australia

Melting, coating, and all-solid-state lithium batteries

CAR TECH
Scotland sees local benefits from renewables

Dutch vote 'setback' to green energy plan: Greenpeace

South Australian Government renews energy for change

Approval of South Australian Wind Farm

CAR TECH
NREL and CSEM jointly set new efficiency record with dual-junction solar cell

Renewable energy for state renewable portfolio standards yielded sizable benefits

Visualizing atoms of perovskite crystals

Optimum band gap for hybrid silicon/perovskite tandem solar cell

CAR TECH
Japan to send plutonium cache to US under nuclear deal: report

Graphene filter can clean nuclear wastewater

Belgian nuclear reactor shut down three days after restarting

Belgian nuclear reactor restarts after shutdown

CAR TECH
NREL's Min Zhang keeps her 'hugs' happy, leading to biofuel breakthroughs

IU scientists create 'nano-reactor' for the production of hydrogen biofuel

EU probes UK aid to convert huge coal power plant to biomass

A metabolic pathway in cyanobacteria could yield better biofuels

CAR TECH
China launches HD earth observation satellite

Chinese rover analyzes moon rocks: First new 'ground truth' in 40 years

Agreement with Chinese Space Tech Lab Will Advance Exploration Goals

China launches new communication satellite

CAR TECH
Earth's recent history key to predicting global temperatures

Russia 'warming 2.5 times quicker' than global average

Melting sea ice increases Arctic precipitation, complicates climate predictions

More rock weathering could counter C02 emissions









The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.