Ride-hailing firm Grab will roll-out robobuses in its home city of Singapore in early 2026, building on its large investment in autonomous vehicle technologies.
Grab co-founder and CEO Anthony Tan made the announcement Tuesday during the company’s quarterly earnings, covering the three months ending Sep. 30.
“Grab will continue to build new partnerships with more global remote driving and AV leaders, participate in more pilots to understand the operational conditions for different driverless services, and be part of the regulators’ efforts to improve transport connectivity through driverless technologies,” Tan said in prepared remarks.
In an Q&A with analysts, Tan called the investments part of a “long-term strategy to lead the adoption of AV and remote driving across Southeast Asia.” Yet he admitted that self-driving vehicles may have a steeper hill to climb in the region, due to lower labor costs compared to developed markets like the U.S. or Singapore. “It will require considerable time for the unit economics to reach parity with human drivers.”
The company also hiked its profits forecast for the full year; it now expects $480 million to $500 million in adjusted EBITDA for 2025.
Still, Grab shares fell by 4.7% in U.S. trading on Tuesday, perhaps due to low growth in profit for the current quarter. Grab reported $17 million in net income, just slightly more than the $15 million reported a year ago.
During the earnings call, Tan also re-affirmed the firm’s commitment to integrate artificial intelligence (AI) into its workflow, to enhance both “internal efficiencies and external innovation”. Over 98% of Grab’s engineers now use AI to code, which accelerates their development cycles.
AI technology has also boosted user experience on its apps, Tan added, with visually impaired users benefitting from its boosted speech recognition abilities, which now recognizes speech across regional accents with a 90% accuracy rate, up from 46%.
