Rolling out its RIDE-HAILING operations for the first time in the world in March 2009, Uber redefined innovation, convenience, and experience when it comes to hailing a ride.

After four years of its launch in the US, it officially announced its entry in Singapore in 2013 that was commemorated with a visit by Ryan Graves, the first employee hired at the firm and the former head of operations.

Just after five years of its operations in the city-state, Uber is set to end its taxi aggregation business operations there from May 7.

As the US-based firm is prepping to exit, Chandigarh-based ride-hailing company Jugnoo aims to enter the city-state next month, news agency Reuters reported citing a senior executive of the company.

With the exception of Singapore, Uber has already concluded its operations in the remaining Southeast Asian countries following the sale of its local operations to regional taxi aggregator firm Grab.

With an aim to fill the vacuum left by Uber Technologies, Jugnoo and other regional players are planning to start their operations in the city-state that probably may assist in relieving the regulatory concerns concerning Uber handing over its Singapore business to Grab.

Why Southeast Asia proved to be a tricky market for Uber?

Just months before Uber introduced its operations in Singapore, Harvard Business School alumni, Anthony Tan and Tan Hooi Ling, rolled out their version of ride-hailing operations in 2012, naming it Grab.

Six years since its launch, Grab has grabbed a substantial market share in eight Southeast Asian countries with a strong network of 2.3 million drivers operating in 168 metropolises.

Despite making a huge investment and leveraging its brand recognition, Uber was unable to figure out the expectations and aspirations of its customers in the Southeast Asian countries.

On the other hand, Grab, and other local players have that cultural advantage and need to make the most of it.

How Indian ride-hailing firm Jugnoo plans to operate in the city-state?

Jugnoo, which have been an auto-rickshaw aggregator in India, will provide an app-based private car service in the city-state that will enable customers to select the company’s partner-drivers competing for bids on fares.

Though drivers won’t need to pay commission to the firm for the initial six months, it will take a 10% commission after the period is over. It is still competitive compared to the 20% commission Grab takes from its partner-drivers.

Riders will pay a small booking fee, convenience charge, after the initial six month period.

The entry of Jugnoo is good news for India as it will result in new job creation in the country as well as abroad.