Uber Technologies Inc. has announced its intent to invest $1 billion in India with the goal of expanding into more cities. The company means to hit 1 million trips per day in the next six to nine months.
The money, according to Uber, will go toward developing new products and payment solutions, as well as other uses, said Amit Jain, who was appointed this past May as president of Uber India. The service is growing 40% month-on-month in its largest market outside the U.S., he said.
“India is one of Uber’s big priorities, along with China and uberPOOL,” Jain said, referring to the company’s carpooling program. “All three have the ability to significantly improve people’s lives, as well as build a great business.”
The plan to bolster investments in India comes as ride-hailing applications like Uber seek to identify opportunities in a country where public transportation services in most cities and towns haven’t kept pace with the needs of a rapidly growing populous.
Uber, based in San Francisco, operates in 18 cities in India and has faced challenges in Delhi, where its services were banned after a rider said she was raped by an Uber driver. On July 29, the Delhi High Court ordered the Delhi government to enforce the ban on app-based cab services, according to the Press Trust of India.
The investment plan of Uber was earlier reported by Financial Times and Bloomberg.
