Brief: Talks underway for Uber alliance with largest taxi operator in Singapore

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The news (extracted from The Straits Times):

• ComfortDelGro, Singapore’s largest taxi operator, released a statement today announcing a potential alliance with Uber. The move could result in ComfortDelGro’s 15,500 taxis being available through Uber’s ride-hailing app. 
• However, it said there’s no certainty the undergoing discussions with Uber will result in a definitive agreement, advising shareholders and investors to act with caution.

Why it matters:

• Other local taxi companies in Singapore have partnered up with Grab, Uber’s main rival in the city-state.
• Uber is still struggling to own the Asian market. It famously quit China in 2016 and it’s trailing behind its competitors in Southeast Asia. This possible alliance with ComfortDelGro could help Uber keep up with the increasingly competitive market. In Indonesia, Uber has partnered up with taxi operator Express.
• ComfortDelGro had previously tried to tie up with British startup Karhoo, which claimed to be a rival to Uber. But that came to nought when Karhoo closed its Singapore office last year amidst uncertainty over its financial viability.