SINGAPORE: The Singapore Competition Supervisory Committee has suggested that the recent merger between Grab and Uber could be canceled after investigations revealed that the deal violated the competition law.
The Singapore Competition and Consumer Commission (CCCS) stated that the agreement had resulted in a "significant decrease in competition" on competing platforms, hindered the entry of new competitors on the market and led to higher prices.
He will also solicit public comment on the remedies proposed to address competition concerns and recommend the imposition of financial penalties on the parties. It also suggested that the merger could be rescinded unless the proposed measures are sufficient to resolve the competition concerns. [196] However, Channel NewsAsia experts said that it was not realistic to conclude the agreement. market and the nature of the ride-hailing business.
million. Walter Theseira, a transportation economist at the Singapore University of Social Sciences, said the outcome of the merger was "virtually impossible" because the transportation activity was not just a physical asset.
"It's a practical problem: when we look at how mergers have unfolded in the past, it's about physical assets that can be distributed – assets return to (l & # 39; 39, company) A or B. But what about drivers and passengers to identify which driver or passenger belonged to Grab or Uber, "says Dr. Theseira.
