Published: Mon, January 29, 2018
Research | By Raquel Erickson

Google invests in Indonesian ride hailing firm Go-Jek

Google invests in Indonesian ride hailing firm Go-Jek

By 2020 they aim to reach the goal of more than 100,000. It has been a part of a series of investments focused on Asia. GO-JEK has not yet commented on the matter. Google invested $12.3 million in Bengaluru-based concierge app Dunzo.

The investment was for a $1.2 billion fundraising round that is expected to help the ride-hailing group contend against rivals, Grab and Uber Technologies Inc. for customers in Indonesia. Go-Jek is an Indonesian ride-hailing start-up and Google wants a pie of the country's digital economy and start-up scene.

"This investment lets us partner with a great local champion in Indonesia's flourishing startup ecosystem, while also deepening our commitment to Indonesia's internet economy", said Caesar Sengupta, VP, Next Billion Users Team in Google's blog. The announcement, which confirmed earlier media reports, is also the latest addition to Go-Jek's list of high-profile investors that already include Tencent Holdings,, investment firms KKR and Warburg Pincus.

Several media outlets recently reported that Google, along with Singapore's sovereign fund Temasek Holdings and China's Meituan-Dianping, invested in Go-Jek which valued the company at around $4 billion.

According to Google, with over 133 million people online, Indonesia has the world's fifth-biggest population of internet users and is home to four of Southeast Asia's eight unicorns.

He added: "Indonesians continue to embrace the internet rapidly and half of Indonesia's population has yet to connect to the internet". More widely, Grab appears to have taken the lead across Southeast Asia as a whole. The region is the third-largest ride-hailing market after China and the USA around the globe and is expected grow significantly to become a $20.1 billion per year industry by 2025.

Go-Jek, like its rivals, offers both taxis and motorbikes on demand alongside offering local services like mobile payments and delivery of groceries.

Go-Jek remains active in Indonesia only, but it has previously been public on plans to expand to other markets using its Go-Pay mobile payment service.

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