Hyundai Motor Group will invest $300 million through its Hyundai Motor Company and Kia Motors Corporation in homegrown ride-hailing service Ola as part of its plans to transform into a smart mobility solutions provider.
The group says that the partnership’s initiatives will allow it to engage across the entire mobility value chain—vehicle production, fleet operation and mobility services.
“India is the centrepiece of Hyundai Motor Group’s strategy to gain leadership in the global mobility market and our partnership with Ola will certainly accelerate our efforts to transform into a smart mobility solutions provider,” said Euisun Chung, executive vice chairman of Hyundai Motor Group. “Hyundai will proactively respond to market changes and persistently innovate to deliver greater value to our customers.”
With this investment, Ola will look at developing electric vehicles (EVs) and charging infrastructure for the Indian market. Ola said that the partnership will also nurture micro-entrepreneurship opportunities for people by providing access to customised Hyundai and Kia vehicles as well as financing and insurance benefits for driver-partners.
Through this collaboration, Ola aims to create over two million jobs in the mobility ecosystem by 2022.
“We’re very excited about our partnership with Hyundai, as Ola progresses to build innovative and cutting-edge mobility solutions for a billion people,” said Ola’s co-founder and CEO Bhavish Aggarwal. “Together, we will bring to the market a new generation of mobility solutions, as we constantly expand our range of offerings for our consumers.”
“This partnership will also significantly benefit driver-partners on our platform, as we collaborate with Hyundai to build vehicles and solutions that enable sustainable earnings for millions of them in the time to come.”