Google to Develop its Own Ride-Sharing Service: Is it Game Over for Uber?

Google-driverless-car

Photo credit: John Karakatsanis via Flickr

Uber could perhaps tells us what it feels like to be stabbed in the back. Don’t you think so? Is it a game over for the $40 billion dollar company now that tech behemoth Google is about to step on its turf?

The search engine giant is planning to develop its own ride-sharing service for the long term in conjunction with its long-in development driverless car project according to Bloomberg.

In 2013, Google’s venture capital firm, Google Ventures invested $258 million in Uber, which was reported to be the biggest investment deal ever. The former is known for its robust and highly sophisticated resources and services that the latter is currently using—especially its dependence on Google Maps to track drivers and riders—a possible partnership or acquisition in the future wouldn’t be a surprise for the public. It was very unlikely for them to become competitors.

However, Google’s chief legal officer and senior vice president of corporate development, David Drummond had already informed Uber’s board of the probable project, a source familiar to the matter disclosed. Uber executives have seen screenshots of Google’s ride-sharing app, currently used by Google employees, and an insider who requested not to be named said Uber is now deliberating whether to ask Drummond to leave his incumbent position.

While there are other options for Uber to integrate mapping solutions like AOL Maps or Apple Maps, Google Maps capabilities are unparalleled in terms of accuracy, precision, and GPS functionality. In case Google’s project will push through, it could possibly cripple Uber unless it will develop its own hub of map data, partner with another company, or make a move in China. In December 2014, Uber had its strategic partnership with China’s largest search engine company that powers Baidu Maps. But the local market is already controlled by homegrown taxi-hailing apps like Alibaba’s Kuaidi Dache and Tencent’s Didi Dache, a tough market and a cutthroat competition on that note. Meanwhile, Google and Uber declined to comment regarding the matter.

What does the future hold for Uber? What’s special about the sharing economy that tech behemoths like Google is willing to throw its hat for long-term, seeing it potential to enrich people’s lives and build smart cities?

What do you think of Google’s unexpected move?

Source: Bloomberg Business

Crowd Sessions Corporate Crowdfunding

BOLD SERIES

The World of Freelancing
and Remote Working

Don't forget to share this post!
About Author

About Author

Maria Krisette Capati 玛丽亚

Maria is the Editorial Associate of Crowdsourcing Week in charge of media outreach. She's a major of Business Management and Entrepreneurship and an advocate of faith-based non-profit organizations, women's, and children's rights. When she's not writing and dabbling with the Crowdsourcing Week team, she satiates her wanderlust and travel around Asia.

You may also like

How to Use Crowdsourcing in Advertising

How to Use Crowdsourcing in Advertising

Advertising is one of many business disciplines being disrupted by the ease of crowdsourcing input from a range of remote though specialist advisers and expert freelancers. This is largely, though not exclusively, in the areas of creative design and production. Ease...

10 Business Sectors Where Top Open Source Platforms Have an Impact

10 Business Sectors Where Top Open Source Platforms Have an Impact

The term ‘open source’ refers to much more than just being able to use free software. In a nutshell, Open Source Software (OSS) is crowdsourcing applied to software development. The term originated when early software developers collaborated to learn from and with...

Top 10 Video Conferencing Platforms

Top 10 Video Conferencing Platforms

Video conferencing is one of the technologies that has advanced more in the months of pandemic lockdown than it would have done in years. Whether used for work meetings, for virtual events with perhaps many attendees, or for dislocated families and friends to get...

Speak Your Mind

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *

Time limit is exhausted. Please reload CAPTCHA.

Design Your Next Successful Prize Challenge

Design Your Next Successful Prize Challenge

E-BOOK Includes:

- 7 key Step Framework Guide

We have broken the process down to a template of seven key steps to ensure results.

- 7 key step Workbook

We created a workbook template to get actionable steps and a clear overview of your next prize challenge.

Get your Rewards ready! E-BOOK on it's way to your inbox!

Download your E-Book

Strategies and Insights from Real-World Online Marketplaces

E-Book on its way to your inbox!