US based on-demand car service, Uber has secured USD 1.2 billion in series E round to make substantial investments, particularly in the Asia Pacific region, Uber’s chief executive Travis Kalanick announced in a Blog Post. In June, the company had also raised the same amount in series D funding led by mutual-fund managers Fidelity Investments, Blackrock and Wellington Management. The latest round brings the total capital of the company to date is USD 2.7 billion in 7 rounds from 32 investors.
Kalanick stated that Uber is “6 times bigger today than 12 months ago — and grew faster this year than last. In 2015 alone, Uber will generate over 1 million jobs.”
Last month, Uber has launched a new low-cost service for India called Uber Go. This is expected to be rolled out across 10 Indian cities and will be 15-20% cheaper than its UberX line. Ola also added auto rickshaw to its inventory, on the lines of a Pune based on demand-auto service startup Autowalle.
Uber counts India as its second largest market after the US in terms of cities covered, ten at present. It had made partnership with redBus.in, an Indian bus ticketing platform, to together present an offer to its customers. Also, in India the firm has opened offices in New Delhi, Bangalore, Hyderabad, Mumbai and Chennai. In addition to expanding into new markets, Uber has also been adding new products and features over time.
Uber is operating in over 250 cities in 50 countries. Uber told VentureBeat that this round brings Uber’s total valuation to USD 40 billion.
Uber’s Indian competitors include Ola, TaxiforSure and Meru. It’s rival Malaysia-headquartered taxi app, GrabTaxi has secured USD 250 million funding round from Softbank on Thursday. Ola too had raised USD 210 million from Softbank. All the Asian companies and the Japanese Corporation are too keen to get rid of the western competition. Where GrabTaxi is targeting SEA market, the Indian players have their own turf. This fresh round of funding by Uber will give a reason for these other companies to worry.