Grab now controls more than 90% of the ride-hailing market in the Philippines but struggles to keep up with demand, with just 35,000 vehicles on its app to service as many as 600,000 requests a day. Ride-hailing has proven especially popular in Manila, where poor infrastructure and limited public transport contribute to traffic snarls estimated to cost the economy 3.5 billion pesos ($90.8 million) a day. That’s created an opening for startups like Ipara and Hype, both of which plan to start services this month.
(May 8): A slew of ride-hailing ventures are taking to the gridlocked streets of Manila, undeterred by the market dominance of Grab now that it controls Uber in the Philippines.
Hype Transport Systems Inc. and Ipara Technologies and Solutions Inc. are just two of the five new entrants approved by the regulator since Grab agreed to take over the operations of Uber Technologies Inc. across Southeast Asia. PT Go-Jek Indonesia, the biggest remaining rival in the region, will seek to enter the Philippines, said Aileen Lizada of the transportation agency.
