Twists and Turns of 'Tada' Finally Join Toss... Aiming for a New Leap Forward (Comprehensive)

[Asia Economy Reporter Buaeri] After many twists and turns, 'Tada' has finally been embraced by the mobile financial platform 'Toss.' Due to the impact of the amendment to the Passenger Transport Service Act and other factors, Tada, which had discontinued its white Carnival 'Basic' service, is now aiming for a new leap forward under Toss's wing.

Toss operator Viva Republica announced on the 8th that it has signed a memorandum of understanding (MOU) among three companies to acquire 60% of VCNC, the operator of Tada, held by Socar. The plan is to complete the stock acquisition contract this month by having Toss acquire newly issued shares from Tada.

Tada is currently operating the franchise taxi service 'Tada Light,' but it has not shown significant performance, being overshadowed by Kakao Mobility's 'KakaoT Blue.' The 'Tada Basic' service, once praised for its service innovation, was discontinued following the passage of the Passenger Transport Act amendment, known as the Tada Ban Act, in April last year.

With Tada joining Toss, industry attention is focused on whether changes will occur in the domestic mobility market, where Kakao Mobility holds an overwhelming first place. Currently, the domestic taxi market is dominated by Kakao Mobility's taxi platform 'KakaoT,' which holds nearly 80% market share. Followers include SK Telecom and Uber's 'UT(UT),' and 'Tada Light.' According to Mobile Index, as of August this year, the monthly active users (MAU) of taxi-hailing apps were 10.16 million for KakaoT, 860,000 for UT, and 90,000 for Tada.

The two companies plan to grow a joint ecosystem, including expanded membership services targeting 20 million Toss customers and 9 million Socar and Tada customers. A new Tada service is scheduled to be launched by the end of this year. Through the acquisition of Tada, Toss aims to expand the scope of its financial business, including Toss payments.

Lee Seung-geon, CEO of Toss, explained, "The domestic taxi market size reaches about 12 trillion KRW in annual sales, with about half conducted through call apps. We expect synergies with Toss's payment business and various financial services."

Park Jae-wook, CEO of Socar, said, "We are embarking on a new challenge by partnering with Toss, which is leading financial innovation. Together with Toss, we aim to introduce innovative services that transcend the boundaries of existing industries and achieve a new leap forward."

This content was produced with the assistance of AI translation services.