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Tata Group Explores Partnership with Uber to Drive Digital Growth

Tata Group explores a strategic partnership with Uber to enhance its digital platform's engagement. Discussions are underway to integrate Uber's services within Tata's ecosystem.

The Tata Group has initiated discussions with Uber Technologies for a potential strategic partnership aimed at enhancing traffic volumes and engagement on Tata's digital platform.

Exploring Integration

According to reports, the collaboration could involve integrating Uber's services as a prominent app within Tata's ecosystem. This move comes as Tata Neu, positioned as a comprehensive 'super app,' has encountered challenges such as stagnant user growth and limited customer engagement.

High-Level Talks

Uber Technologies CEO Dara Khosrowshahi reportedly met with Tata Sons chairman N Chandrasekaran earlier this year in Davos, with plans for further discussions during Khosrowshahi’s upcoming visit to Mumbai, India.

Negotiations Underway

While discussions are in progress, the specific terms of the partnership are still being negotiated, and there is no guarantee of a final agreement.

Scaling Digital Presence

An executive close to the development highlighted the need for Tata Digital to bolster its consumer installs and membership, emphasizing the potential impact of a partnership with Uber.

Strategic Focus

Uber, anticipating India's emergence as its largest market globally in the next decade, aims to expand its presence in the country, particularly focusing on two-wheelers and three-wheelers.

Investment Plans

Tata Sons is reportedly planning to invest around $1 billion in its digital arm, Tata Digital, over the next few years. Last year, Tata Group considered an additional investment of $1 billion in its super app, Tata Neu, reflecting its commitment to digital expansion.

Leadership Transition

In line with its digital growth plans, Tata Digital has appointed Naveen Tahilyani as its new CEO and MD, who is set to assume office on February 19.