ComfortDelGro has to disrupt itself

THIS month, it was reported that San Francisco-based ridehailing startup Uber could be selling its South-east Asian business to Singapore-based competitor Grab. The move is reportedly to help Uber reel in its costs in the region - where it is bleeding from intense competition with Grab and Indonesia's Go-Jek - in preparation for an initial public offering as soon as next year.

While Grab and Uber have refused to comment on the speculation, The Business Times understands from industry sources that it is more or less a done deal; only the timing is uncertain. When the deal takes place, the outcome for Grab and Uber is obvious. The former will be the leading ridehailing player in Singapore, and the latter will be dearly missed for its competitive fares.

But more interestingly, what will be the fate of ComfortDelGro? Singapore's largest taxi operator - founded 15 years ago in March 2003 - quickly became the epitome of "the disrupted" after Uber and Grab entered the scene in 2013. In a twist of fate, ComfortDelGro last December announced plans to acquire a 51 per cent stake in its disruptor Uber's private car rental subsidiary, Lion City Holdings.