A PYMNTS Company

South Korea OKs Taxi-Uber Joint Venture

By  |  February 10, 2021

South Korea’s corporate watchdog said Wednesday it has approved a move by SK Telecom’s mobility spinoff to launch a taxi-hailing joint venture with Uber Technologies.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    T Map Mobility, wholly owned by SK Telecom, the country’s biggest mobile carrier, plans to set up a taxi-hailing joint venture with US ride-hailing company Uber in April, as it seeks to strengthen its business in the connected mobility sector.

    The Korea Fair Trade Commission (KFTC) said it has given the green light to the joint venture proposal as it does not hurt market competition.

    “We’ve judged the move does not cause concerns about competition restrictions as it will likely rather increase competition pressure for industry leader Kakao,” the antitrust watchdog said.

    Currently, Kakao Mobility, the mobility business unit of Kakao, is a dominant player in the taxi-hailing services market here with a market share of some 80 percent.

    The KFTC said it plans to approve corporate mergers in case such marriages facilitate innovation in new industries and do not hamper market competition.

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.