Uber eyes Mideast expansion with sustainable, innovative solutions

At the start of 2022, Uber’s data revealed that it had moved over 31 million riders around the MENA region, with 18,000 drivers in the UAE making a trip since the launch using the Uber app. (Supplied)
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Updated 07 January 2023
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Uber eyes Mideast expansion with sustainable, innovative solutions

  • Latest product ‘Smart Itineraries’ is set to make booking experience seamless, says official

RIYADH: Uber, the ride-hailing app, has come up with yet another feature called “Smart Itineraries” to make life easier for travelers to the region, according to its general manager for the UAE, Jordan and Lebanon.

In an exclusive interview with Arab News, Pia El Hachem said the newly launched feature allows riders to link their Uber profiles with their Google accounts and displays all upcoming travel plans.

“Riders can then reserve a ride to and from specific locations based on hotel and flight bookings, making the Uber app a one-stop-shop for all travel planning and bookings,” she added.

Smart Itineraries, the latest innovation in Uber’s product portfolio, is part of the Uber Travel Suite of offerings globally, with a range of features expected to launch in the region soon.

Smart Itineraries follows the expansion of Uber Reserve last year in Saudi Arabia.

Growth strategy

Commenting on Uber’s strategy to grow its market share in the UAE, Jordan, and Lebanon, El Hachem said: “Having a real presence on the ground in so many parts of the region allows us to connect cities, help businesses grow, and boost earning opportunities for millions of people across the region.”

She added: “We support the initiatives that matter (the) most to countries, bring diversified product innovation to address the needs of both riders and drivers.”

El Hachem went on to say that people are on the lookout for more convenience than ever before, including in the transport sector. 




At the start of 2022, Uber’s data revealed that it had moved over 31 million riders around the MENA region, with 18,000 drivers in the UAE making a trip since the launch using the Uber app. (Supplied)

“As cities grow and technology improves, we want to provide more choices and a reliable experience for riders through the app in a way that would enable riders to leave their house and plan their journey end to end, all while minimizing our impact on the environment,” she explained.

Uber is investing in a wide range of offerings across different categories to serve different lifestyles and price points. This includes core offerings like Uber Select and Uber XL, as well as premium offerings like Uber Comfort, Uber Black, and tailored offerings like Uber Family and Uber Green.

According to El Hachem, Uber Green is helping the company to quickly progress toward its commitment to have one in four trips in the UAE emission-free by 2030.

“We are also working closely with the public sector on the right policies, legal framework and initiatives on charging infrastructure to make the transition to electric vehicles easier and more affordable for drivers,” she added.

Future priorities

Asked about Uber’s priorities over the next 12 months for the UAE and the Levant, El Hachem said that since the Middle East is very diverse, people’s preferences and each market’s infrastructure demand a different strategy.

“However, our efforts in the region over the next 12 months are focused on providing a smooth app experience, doubling down on sustainability, and supporting earners,” she explained.

El Hachem stressed that Uber wants to provide a reliable experience and more choices for riders to get around town, starting from the moment they land in the country.

“Staying mindful of the current socio-economic challenges, we also aim to create more economic opportunities for drivers through new product launches and expansions to support their earnings,” she said.

El Hachem added: “As per our global and local commitment, we’re also prioritizing making mobility more sustainable. We have Uber Green available in the UAE and Jordan to encourage riders to choose more sustainable ways.”

In 2022, Uber’s local and global sustainability teams and Uber’s CEO also participated in several events at COP27, which was held in Egypt, to discuss its road to electrification with key stakeholders and how they can address this challenge together.

“We are excited COP28 is also happening in the Middle East and North Africa region, and in the lead up to it, we are focusing our efforts on providing wider access to the sustainable offerings on the app, and supporting drivers with transitioning to EVs,” El Hachem said.

By all accounts, the UAE and Levant are strategically important markets for Uber’s growth. At the start of 2022, Uber’s data revealed that it had moved over 31 million riders around the MENA region, with 18,000 drivers in the UAE making a trip since the launch using the Uber app.

“As the region just witnessed one of the biggest sports tournaments (FIFA) in the world, we have also had a moment to reflect on the impact we’ve created across the region,” she said. “People from the UAE were among the top 10 to visit Qatar during this period.”

Innovation is key

El Hachem said that Uber is tapping into the potential of its tech to innovate and make travel more convenient and sustainable.

“Our priority is to help people get from point A to point B in the most efficient way possible,” she explained.

“We want to make the expected time of arrivals shorter and to help people plan better, we’ve introduced new features like Uber Reserve that allow people to schedule rides days in advance.”

She said this gives riders more certainty over their trips and creates higher earning opportunities for drivers. “It also comes with unique features such as upfront driver assignment, early arrival, and wait time, which makes all the difference to the travel experience,” El Hachem added.

Asked how Uber deals with competition in the region, she promptly replied that they believe competition is healthy since it pushes companies to evolve and provide better services.

“Competition also enables more choices: market diversity allows for more earnings opportunities for drivers and options for riders,” El Hachem said.

The main challenge, according to her, is actually people’s personal cars. “If we can get more people to use integrated transport systems, we will solve bigger challenges like (road) congestion and pollution — this is what we’re aiming for, globally and locally,” she concluded.


PIF’s Alat unveils electrification, AI infrastructure business units 

Updated 06 May 2024
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PIF’s Alat unveils electrification, AI infrastructure business units 

RIYADH: Alat, a flagship company of the Public Investment Fund, unveiled two business units in electrification and AI infrastructure, to establish Saudi Arabia as a premier manufacturing hub globally.

The company unveiled its plans during the Milken Institute Conference held in Los Angeles.

According to a press release, the move comes as part of the PIF company’s strategic vision to spearhead a paradigm shift in industry sustainability while propelling Saudi Arabia on the global stage. 

Alat Global CEO Amit Midha said: “I am pleased to announce these two exciting new divisions as they will make a significant contribution to Alat’s overall strategic goal of developing an advanced, sustainable future for the industry.”

The electrification arm will fortify grid technology, catering to the burgeoning demand for electricity driven by exponential growth in renewable energy sources like solar, wind, and hydrogen. 

By harnessing Saudi Arabia’s solar energy and other clean resources, the firm seeks to manufacture innovative solutions that will catalyze the global energy transition and drive decarbonization in industry.

The electrification unit will specifically focus on enhancing transmission and distribution technologies, facilitating the integration of renewable energy into existing grids, and pioneering advancements in gas and hydrogen generation and compression technologies.

On the other front, the AI Infrastructure business unit will address the escalating global demand for AI capabilities across industries. 

This entails the development of cutting-edge technologies encompassing network and communications equipment, servers, data center networking, storage, industrial edge servers, and Industry 4.0 computing. 

“The global electrification market size reached $73.64 billion in 2022 and it is expected to hit around $172.9 billion by 2032, growing at a CAGR of 8.91 percent between 2023 and 2032,” the press release added.

The global AI Infrastructure market is set to hit $460.5 billion by 2033, with a robust 28.3 percent compound annual growth rate, driven by widespread adoption across industries for innovation, decision-making enhancement, and task automation.

As a gold sponsor at the Milken Institute Conference, the firm now has nine business units focused on sustainable technology manufacturing.

“Alat will invest $100 billion by 2030 across these business units to develop key partnerships and build advanced manufacturing capabilities in Saudi Arabia to bring jobs and economic diversification to the Kingdom,” the press release said.


Saudi Arabia’s Qiddiya to build region’s largest water theme park

Updated 06 May 2024
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Saudi Arabia’s Qiddiya to build region’s largest water theme park

  • Aquarabia will also feature the first underwater adventure trip with diving vehicles

RIYADH: Saudi Arabia Qiddiya Investment Co. will construct the region’s largest water theme park as a cornerstone of its Six Flags Qiddiya City venture it was announced on Monday.
To be named Aquarabia, Qiddiya hopes to draw visitors from around the globe with 22 attractions and water experiences suitable for all family members, as well as some “world-first” attractions, Saudi Press Agency reported.
These attractions include the world’s first double water loop, the tallest water coaster with the highest jump, the longest and highest water racing track, and the tallest water slide.

Aquarabia will also feature the first underwater adventure trip with diving vehicles, catering to adventure enthusiasts with water sports areas designated for rafting, kayaking, canoeing, free solo climbing, and cliff jumping.
Additionally, the park will introduce the first surfing pool in the Kingdom, incorporating immersive design elements themed around ancient desert water springs and Qiddiya’s wildlife.
With sustainability in mind, Aquarabia will implement advanced systems capable of reducing water waste by up to 90 percent and decreasing energy consumption. As part of the Six Flags Qiddiya project, the venture, the first Six Flags of its kind outside North America, aims to recycle operational waste, diverting over 80 percent from landfill.

Scheduled to open in 2025, both Aquarabia and Six Flags Qiddiya City are situated within Qiddiya City, forming a fully walkable neighborhood offering a diverse array of activities, accommodations, dining options, and relaxation spots.
Abdullah Al-Dawood, managing director of Qiddiya Investment Co., hailed the announcement as a significant milestone for Qiddiya and the entertainment, tourism, and sports sectors in the Kingdom.
He emphasized that the projects will cater to diverse entertainment needs while contributing to economic diversification and job creation in the tourism sector.
The project also aims to meet the growing local demand for immersive entertainment experiences, particularly in water activities, aligning with the goals of Saudi Arabia’s Vision 2030 to enhance local tourism and employment opportunities.
The unveiling of Aquarabia follows the announcement of several other entertainment, sports, and cultural attractions in Qiddiya, including the world’s first multi-use gaming and electronic sports area, the multi-sport Prince Mohammed bin Salman Stadium and the Dragon Ball amusement park.
 


Saudi Arabia ascends as key destination for global talent: BCG report

Updated 06 May 2024
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Saudi Arabia ascends as key destination for global talent: BCG report

RIYADH: Saudi Arabia has emerged as a key player in attracting global talent amid ongoing geopolitical shifts and financial uncertainty, moving up two spots on the list of preferred countries for workforce mobility. 

The “Decoding Global Talent 2024” report by Boston Consulting Group highlights Saudi Arabia’s rise to the 26th most preferred country, underscoring the success of the Kingdom’s strategic initiatives to position itself as a global hub for professionals.  

This fourth edition of the study draws insights from over 150,000 professionals across 188 nations, tracking global talent trends since 2014. 

Riyadh’s rise to the 54th rank globally underscores its emergence as a hub of opportunity and progress in the eyes of global talent.  

Christopher Daniel, managing director and senior partner at BCG, said: “As the global talent shortage becomes an increasingly pressing challenge for the world's foremost economies, Saudi Arabia is emerging as a pivotal player in narrowing this gap.”  

He added: “With a significant proportion of respondents citing the quality of job opportunities, the attractive income, tax, and cost of living, as well as the assurance of safety, stability, and security as key reasons for choosing the Kingdom, it’s evident that Saudi Arabia’s strategic investments in its labor market are bearing fruit.” 

Daniel noted that the Kingdom is leveraging labor migration to enhance its workforce, offering a secure and hospitable environment that caters to the diverse needs of international professionals. 

“By fostering a job market that is attuned to the evolving aspirations of global talent while prioritizing their well-being, Saudi Arabia is positioning itself as a compelling destination for those seeking growth and fulfillment in their careers,” he said.

Furthermore, the report highlights that younger generations and individuals from rapidly expanding populations are particularly attracted to global mobility, pursuing diverse experiences and opportunities for professional growth. 

With 23 percent of global professionals actively pursuing international positions and 63 percent remaining receptive, Saudi Arabia is well-positioned to capitalize on this trend.  

The Kingdom offers an enriching environment for a globally oriented workforce to excel and progress in their careers, presenting an enticing option for individuals seeking both personal and professional advancement in an ever more interconnected global landscape. 


Riyadh Air to expand fleet with additional aircraft orders, CEO reveals 

Updated 06 May 2024
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Riyadh Air to expand fleet with additional aircraft orders, CEO reveals 

RIYADH: Saudi Arabia’s Riyadh Air plans to bolster its aircraft lineup through additional orders, as it requires “a very large fleet” to establish itself alongside regional giants, stated the CEO. 

This move comes as the Kingdom’s second flag carrier, backed by the country’s Public Investment Fund, ordered 39 Boeing 787-9 jets last year, with options for 33 more. 

It also aligns well with Saudi Arabia’s goal to expand its aviation industry and attract more tourists, broadening its airline capacity beyond pilgrimage travel, which currently forms the backbone of the country’s inbound tourism. 

“We need a very large fleet, we’re going to make a number of additional orders,” CEO of Riyadh Air, Tony Douglas, said in an interview with Bloomberg Television. 

He added: “We will be making a narrowbody order, we’ll probably be doing another large order after that to build us up to scale.”  

During the interview, Douglas, who previously led the Abu Dhabi flag carrier Etihad Airways, expressed being “very conscious” of potential delays to aircraft deliveries. This concern arises as both Boeing and Airbus SE grapple with production challenges amidst record demand and supply issues at the two plane makers. 

The establishment of a second Saudi national airline alongside the existing flag carrier Saudia is part of the Kingdom’s economic diversification plan. 

In November 2023, Douglas expressed confidence in the demand for travel. “We’re not well enough connected. It’s as simple as that,” he said at the time. 

The new airline stands to benefit from Saudi Arabia’s rapidly growing economy and the increasing influx of tourists to the Kingdom. Riyadh Air does not intend to pursue mergers and acquisitions to fuel its growth. “No, it’s organic,” Douglas emphasized at the time. 

The initial destinations will include major cities in Europe, the US East Coast, and Canada, with the inaugural flight scheduled to depart by June 2025. 

By that time, Riyadh Air will have secured slots at major airports, Douglas mentioned, although hubs like London Heathrow are already operating close to capacity. 

“It won’t be easy ... but we have no reason to be anything other than confident that we’ll resolve all of that,” he said at the time. 


Saudi Arabia and Egypt retain top spots in MENA travel preferences: Wego study

Updated 06 May 2024
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Saudi Arabia and Egypt retain top spots in MENA travel preferences: Wego study

RIYADH: Saudi Arabia and Egypt remain dominant destinations among Middle East and North Africa travelers in 2024, retaining top spots in international preferences, according to a study. 

Singapore-based travel booking app Wego ranked Egypt as the top destination for tourists from the region between January and April, followed by the Kingdom, with India consistently holding the third spot since 2016. 

Saudi Arabia’s second spot on the wish list is a clear indication of the Kingdom’s progress as a global tourist destination, aligning with its National Tourism Strategy aiming to attract 150 million visitors by 2030. 

“We are excited to see Egypt emerge as the leading destination for travelers in the MENA region during Q1 2024. According to Wego's data, Egypt stands out as a favored choice among travelers seeking unique cultural experiences and diverse attractions,” said Mamoun Hmedan, chief business officer at Wego. 

He added: “Meanwhile, the United Kingdom retains its position as the preferred European destination for Middle Eastern travelers.” 

Among Middle East destinations, the top three — Egypt, Saudi Arabia, and UAE —maintained their positions from 2023. Egypt and the Kingdom, in particular, have consistently held the top two spots since Wego began tracking customer trends over a decade ago. 

The study utilized traveler searches and hotel booking data from its website as the foundation for its findings. 

The report further revealed that the UAE ranked as the fourth favorite destination, followed by Pakistan, Kuwait, and Turkiye. 

Meanwhile, China dropped one spot, reaching the 27th top destination among MENA travelers. 

The UK remains the top European destination from the Middle East, holding the first spot for 10 of the last 11 years, briefly overtaken during the pandemic. Italy has notably surged from fourth to second. 

Italy, a top global tourist spot, consistently ranks in the top ten European destinations for Middle East travelers.   

This year marks Italy’s debut in the top three. Joint investments between Saudi Arabia and Italy in late 2023, along with direct flights by ITA Airways to Riyadh and Jeddah, signify growing ties. 

Countries farther from the Gulf region, such as Morocco, Indonesia, and the US experienced the most decline among top destinations. 

This trend continued in 2024, with Malaysia, the Philippines, and the US dropping out of the global top 10, while Kuwait, Pakistan, and Jordan, which entered the top ten last year, remain preferred destinations for MENA travelers.