PCC gives Grab, Uber until Tuesday to say why Uber platform is not operating

April 16, 2018

The Philippine Competition Commission (PCC) ordered Grab and Uber to explain on Tuesday why the later's app is no longer maintained.

"The parties are given until April 17 to explain why they have failed to continue operating the platform, as required in the Interim Measures Order," said the commission in a statement on Monday.

The order, issued two weeks ago, said the Uber app must be maintained while the commission's review of Grab's buyout of Uber is proceeding.

"As of today, Uber users have received e-mails with a direct endorsement to transfer to Grab with it as sole provider of ride-sharing service," the PCC statement said,

"As the antitrust authority, our lens is always focused on the market—in this case, we are reviewing the potential effects on competition in the merger between Grab and Uber in the ride-hailing platform, said the PCC.

Grab’s buyout of Uber will mean gobbling up 93 percent of the ride-hailing market, it added.

"The accreditation of new TNCs ( transport network companies) is a welcome development to allow passengers to have more choices. We note, however, that the incoming TNCs are left with only 7 percent share in the market." the PCC added.

The Land Transportation Franchise and Regulatory Board received complaints last week Grab fares have gone up, forcing the board to reduce the surge rate from 2 to 1.5. DMS