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I don’t own a car. In Singapore, having one is just economically irresponsible in my opinion – unless you have kids or need to ferry elderly relatives around regularly, in which case the convenience and time savings make up for the lack of economic value. The country’s public transport system works well enough.
Since my wife and I got a dog though, we’ve had to use ride-hailing services much more, as pets aren’t allowed on buses and trains. Even just visiting our parents or going to the vet necessitates a car trip.
Plus, we’re now a long way from the consumer heyday of Grab vs. Uber when fares in the teens (sometimes below S$10, even) were common. It’s easily around S$30 per trip now.
Hopefully, ride-hailing users in Vietnam get to enjoy low prices for a little while more; today’s premium story looks at Green SM Taxi, a new EV ride-hailing service from Vingroup, and how it’s planning to challenge Grab.
Today we look at:
- How Green SM Taxi can take the fight to Grab in Vietnam
- The US$1.4 million pre-series A round of a Singapore-based edtech startup
- Other newsy highlights such as Pony.ai’s fully driverless passenger transport vehicles and AI boosting traffic to Facebook and Instagram
Premium summary
The Fast and the Furious: Hanoi Drift
Image credit: Timmy Loen
Like I said, I don’t intend to get a car, but if needs change, I’d definitely consider getting an electric vehicle (gotta think about the environment). But since the whole point of spending that crazy money is to buy time and convenience, then the vehicle-charging infrastructure has to be as ubiquitous as petrol stations. Otherwise, what’s the point?
Anyway, it appears that using EVs is one of the unique selling points for Green SM Taxi in Vietnam. Is it enough to topple Grab? Let’s take a look.
- Keeping it in the family: Pham Nhat Vuong, the Vietnamese billionaire behind local conglomerate Vingroup and electric vehicle manufacturer VinFast, is the mind behind Green SM Taxi. Unsurprisingly, the EV ride-hailer will exclusively use VinFast cars in the first phase of its operations.
- Is Vietnam ready for EVs? Vietnam has limited vehicle-charging infrastructure and a lack of regulations and standards on charging stations. The government hasn’t come up with clear policies or incentives to support the EV industry as a whole.
- Pay the driver: Unlike other ride-hailing competitors, Green SM Taxi supplies the VinFast cars and pays fixed salaries (up to 11 million dong or US$470 per month) to drivers. The company adds that drivers’ commissions could reach 20% to 25% of their monthly revenue.
Read more: Vingroup founder’s EV play revs up Vietnam’s ride-hailing race
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