By Wang Shen
The DiDi Chuxing Technology Co. and the Softbank Corp. announced on Thursday that they would establish a joint venture, DiDi Mobility Japan Corp. (DiDi Japan), offering taxi-hailing services in Japan.
This joint venture will deploy DiDi's most advanced artificial intelligence (AI) and data analytic technologies on its open taxi platform. DiDi Japan will begin its pilot operations free of service charge to taxi companies in Autumn from Osaka, expanding to Kyoto, Fukuoka, Okinawa, Tokyo and other major cities gradually.
DiDi is the world's leading mobile transportation platform and offers a full range of app-based transportation options for 550 million users, including Taxi, Express, Premier, Luxe, Hitch, Bus, Minibus, Designated Driving, Enterprise Solutions, Bike, and food delivery. Daily rides have reached 30 million, allowing over 21 million drivers on the DiDi platform to find flexible work and income opportunities.
The Softbank Corp., a subsidiary of the Softbank Group Corp., provides mobile communication, fixed-line communication and Internet connection services to customers in Japan, and aims to transform lifestyles through information and communication technology (ICT) as well as expanding into other business areas including Internet of Things (IoT), robotics and energy.
The reason that the joint venture plans to enter the Japanese market is due to its potential. Japan is the third largest taxi market in the world, and its online taxi service has a bright prospect. Japan has a well-established mobile Internet infrastructure, and the taxi industry has a high service standard.
The development of the Japanese tourism market will also benefit the taxi businesses. According to the Japan National Tourism Organization, the number of foreign tourists in Japan has increased by an average of 28 percent per year from 2012 to 2017. DiDi Japan will capture the opportunities for growth in the taxi industry during the 2020 Tokyo Olympic Games.
