Hyundai invests in India’s Revv
The carmaker didn’t disclose the size of the investment.
This was the fifth major investment made this year by Hyundai Motor in an innovative transportation company as the carmaker attempts to maintain its place in the fast-changing automotive industry.
Revv was established in 2015 and offers its services in 11 big cities in India. It is currently the No. 2 player in the Indian car-sharing industry.
Hyundai Motor explained that Revv’s services differentiates itself from its competitors.
It provides delivery of cars to users and also equips all of its cars with safety features such as forward collision warning systems.
Revv also offers a subscription service that combines elements of rentals and car-sharing services. While the general concept of car sharing enables users to borrow cars on an hourly basis, the subscription service allows users to rent a car for a certain amount of time and allows users to change the car model whenever he or she wants to.
Through its strategic partnership with Revv, Hyundai Motor said it is considering adding its cars to Revv’s fleet and co-developing a new transportation platform together.
“India is a strategically important market for Hyundai Motor, and as a leader in the industry, it is important for us to play a pioneering role,” said Ji Young-jo, the vice president of Hyundai Motor, in a written statement. “Hyundai Motor will continue to make diverse investments and form partnerships to form an ecosystem throughout the mobility industry.”
Hyundai Motor has been active in forming partnerships with future mobility-related firms to expand its business scope.
This year, Hyundai Motor made a hefty investment in Grab, a leading ride-hailing start-up in Southeast Asia, to share data on drivers, users and rides. It also invested 22.5 billion won ($20 million) in Korea’s last-mile delivery platform Mesh Korea in July. It said it will provide its autonomous driving tech to delivery vehicles operated by Mesh Korea.
According to Hyundai Motor, India’s ride-hailing industry has shown exponential growth, growing from $800 million in 2016 to $1.5 billion in 2018. It is expected to hit $2 billion by next year.
The car-sharing industry showed similar growth, as fleets are expected to grow from 15,000 cars in 2018 to 50,000 next year.
BY JIN EUN-SOO [firstname.lastname@example.org]