Tuesday, 02 January 2024 12:17 GMT

Zed Now Controls Over 80% Of Dubai's Taxi Market


(MENAFN- The Arabian Post) Arabian Post Staff -Dubai

Dubai's ride-hailing landscape has shifted dramatically as the UAE-based Zed app now encompasses 10,764 taxis across the emirate-equivalent to more than four in five licensed cabs. The move was enabled through strategic partnerships with Dubai Taxi Corporation and National Taxi, folding in the fleets of three major operators.

Under the new arrangement, DTC's entire fleet and those of National Taxi and Kabi by Al Ghurair become bookable via the Zed platform, effectively making Zed the host of Dubai's second-largest taxi fleet. Zed executives describe the expansion as a means of enhancing coverage, cutting cancellations, and lowering wait times, especially across areas traditionally underserved.

Badr Al Ghurair, Zed's Chief Executive, emphasised the home-grown nature of the platform and its deep knowledge of Dubai's commuting patterns:“this collaboration ... further strengthens Dubai's mobility ecosystem while ensuring that our communities have access to reliable, everyday transport solutions” he said. Abhinav Patwa, Zed's EVP and Head, added that the alliances provide scale and reliability without losing sight of a customer-first approach.

The accord comes amid Dubai's broader ambition of converting 80 per cent of taxi bookings to digital platforms-a target within reach through the emirate's Smart City 2025 programme. The integrated fleet also introduces more electric and hybrid taxis into Zed's pool, aligning with the city's sustainability goals.

This consolidation represents a notable realignment in Dubai's mobility market. For years, taxis and e-hailing apps operated largely in parallel, with limited overlap in booking channels. The new model bridges that divide, bringing traditional operators into the digital fold via a single platform. Analysts say the move may accelerate the decline in usage of standalone taxi apps and push rivals to forge similar alliances or risk falling behind.

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Dubai Taxi Company, now a public joint stock firm under Law No. 21 of 2023, operates more than 10,000 vehicles, of which 6,200 taxis were folded into the agreement. Kabi by Al Ghurair contributed another 3,680 vehicles under the tie-up. According to RTA data, Dubai's taxi sector expanded by 7 per cent in the first half of 2025 compared with the same period in 2024, signalling growing demand for urban mobility services.

Through the arrangement, newly commissioned taxis across the partner fleets will automatically integrate into Zed's system-making service expansion incremental and scalable. Several of the added vehicles are electric or hybrid, helping Zed accelerate its greening efforts.

Passengers can now access all these taxis via Zed's iOS and Android apps, with the platform continuing to offer features such as guaranteed on-time pickups for pre-booked premium rides. The enhanced capacity is expected to reduce wait times during peak hours, improve service in remote zones, and lower the incidence of ride cancellations.

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