Singapore’s competition watchdog slaps Grab, Uber with $9.5 million in fines
The Competition and Consumer Commission of Singapore (CCCS) slapped Singapore-based Grab with a fine of around S$6.4 million, while Uber was penalised about S$6.6 million for violations of the competition act, according to a statement released by the watchdog. However, the companies have been spared from having to reverse the transaction.
The CCCS reiterated in a statement that Uber would not have left the Singapore market if the merger had not occurred. Prices for Grab’s services also increased after the merger, it found.
Grab’s exclusivity obligations on taxi companies, car rental partners and even some drivers also hampered smaller players from expanding in the ride-hailing market, CCCS found. Apart from financial penalties, CCCS also instructed that Grab remove any exclusivity arrangements it has with partners and maintain its pre-merger pricing algorithms and commission rates. ■