#Asia After e-commerce Indonesian corporate giants now have eyes on car-hailing app

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Garuda Indonesia’s subsidiary Aerotrans Service Indonesia is partnering with Indosat Ooredoo to launch car-hailing app

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With the rise of Indonesian digital industry, the country’s corporate giants and state-owned enterprises are now looking at industry sectors previously untouched by them.

After e-commerce, car-hailing app is set to become their next target with Aerotrans Service Indonesia announcing partnership with Indosat Ooredoo to develop such app.

A subsidiary of flagship carrier Garuda Indonesia, Aerotrans offers vehicle rentals, fleet management, ground handling, and tourism services. The company is currently renting 200 out of its 1,200 vehicles, and plans to add 3,000 vehicles in the next two to three years.

It will also develop its online-based car rental by partnering with other car rental companies, Jakarta Globe reported.

“The company can track the vehicles’ locations, fuel consumption and the behaviour of its drivers on the new mobile app … It will make things safer and more efficient,” said Aerotrans Service Indonesia President Director Daan Darmahan Raihin.

“This will create other business opportunities, using products and services we already have,” he added.

Also Read: Plot twist: Go-Jek might be launching a taxi-hailing app soon

Previously, DailySocial reported that Indonesia’s second largest taxi company Express Group had partnered with local startup PT SITU to launch taxi-hailing app myTRIP.

However, the partnership was not an exclusive one as myTRIP stated that they will expand into other taxi companies and transportation modes. The company is also backed by Indosat Ooredoo.

Companies seem to be riding this momentum with the Indonesian government recently giving ride-hailing apps the green light, after companies such as Grab and Uber agreed to set up a co-op for drivers and car owners.

These corporate giants definitely have an advantage in form of a set permanent business venture (as required by the government to several Internet giants operating in the country), sufficient resources and networks, and an already well-known brand.

But is it all it takes to win the market? Only time will tell.

Image Credit: Irene van der Poel on Unsplash.com.

The post After e-commerce, Indonesian corporate giants now have eyes on car-hailing app appeared first on e27.

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