Grab Leverages AI to Combat Rising Fuel Costs, Drive Growth
- tech360.tv
- 3 hours ago
- 2 min read
Grab, Southeast Asia's leading ride-hailing and delivery organisation, is banking on artificial intelligence-led products and services to foster growth and overcome challenges such as affordability and increasing fuel costs in the wake of the war in Iran. CEO Anthony Tan stated the Singapore-based company believes strongly in its AI strategy, which is already yielding positive results.
Tan confirmed the fuel cost situation is a real concern for everyone, emphasising how companies like Grab must become more conscious of customers’ wallets. The CEO highlighted Grab’s scale, with an LSEG-estimated market value of USD 14.5 billion, as a crucial differentiator, providing "tremendous data" to aid growth.
This data allows Grab to make services more affordable, which in turn encourages more people to use them, according to Tan. He described this as the best way to drive growth, by building AI-led strategies that are unique.
Earlier this year, Grab expanded beyond Southeast Asia for the first time by acquiring Delivery Hero's Foodpanda delivery business in Taiwan. Despite this expansion, the company’s fiscal 2026 revenue and adjusted EBITDA forecasts fell short of Wall Street expectations.
This signals slower momentum in its core ride-hailing and delivery businesses, as consumers grappled with economic uncertainty even before the war in Iran. Grab's share price has decreased by nearly 30% this year, despite the Nasdaq-listed company announcing its first-ever full-year net profit 14 years after its founding.
Among the 13 products Grab recently unveiled was a "group ride" feature, designed to save customers up to 40% on fares. This feature uses AI to precisely calculate fare splits among groups of travellers.
The company did not disclose the investment value for these 13 AI products. The "group ride" product will soon see a wider rollout in Indonesia, the region’s largest economy and the biggest of Grab's eight operational markets.
Tan expressed satisfaction with Grab’s presence in Indonesia, affirming the company's commitment to "keep doubling down" its efforts there.
Grab is leveraging artificial intelligence to counter rising fuel costs and drive growth.
CEO Anthony Tan affirmed the company's strong belief in its AI-led product strategy, citing positive results.
Grab recently unveiled 13 new products, including an AI-powered "group ride" feature, which can save customers up to 40% on fares.
Source: REUTERS
