Karun Arya: We're not a cab company but an apps business  

TEMPO.CO, Jakarta - As protests rejecting the Uber car hire company grew louder, Karun Arya found himself coming more frequently to Jakarta. Last month, this spokesman for Uber Southeast Asia and India was in Jakarta twice in a month. Now, he must be in Jakarta every week to attend meetings.

But Arya is used to facing rejection and protets, as he has in places like India and the Philippines and he is optimistic he will overcome these challenges in Jakarta. "I would like to come here for sightseeing, not to deal with problems," said Arya, when he was interviewed by Tempo reporter Syailendra Persada in Jakarta, last week. 

Protests rejecting Uber is growing louder in Jakarta. How do you deal with it?

Such reaction from some people are understandable, because Uber is a new thing and different from what has normally been the case. This happens not only in Jakarta, but also in other places in the world where Uber has emerged for the first time.

Why is Uber being rejected everywhere?

The reasons are varied. In India, for example, at issue is the security factor. In the Philippines, it's because there is no regulation covering apps. In other places, it's simply an economic problem.

The Jakarta government is rejecting Uber because of traffic violations.

That's what is so confusing. We have studied all the traffic regulations of this country. I stress again, Uber is not a taxi company. We are in the apps business. Our programs links up rental cars with customers. So, how can Uber be classified as a taxi company.

But you extract a fee from the driver who joins Uber.

To this day, we have not deducted any fees from the drivers. They get 100 percent what they get. So the tax responsibility should be the responsibility of each rental car company. I think this tax regulation is very clear.

Do you see some business rivalry behind the protests against Uber here?

There could be many reasons, but what is most evident is the economic factor. Imagine, in only one year, some 6,000 units of cars have joined Uber. So, of course, public transportation, especially taxis in Jakarta feel threatened. We offer cheaper rates, safer, more secure, comfort and on time. Many of our customers, even the Uber drivers, were once taxi users.

So, Uber is a threat to the local taxi business?

It shouldn't be seen that way. The analogy is like this: a certain fan of a football club would want his team to win, right? But on the other hand, he will feel bored if his champion wins all the time. Sometimes, a sharp competition would make it more exciting to watch. It's the same with business, there must be challenges so we can improve ourselves.

What would you say are the challenges of a conventional taxi company?

Today, conventional taxis must have a business plan. It should not resist change.

When you met the Jakarta governor, what did you tell him?

We have met Pak Basuki a number of times to explain Uber's position. The last time we met was a month ago. At that time Pak Basuki welcomed the presence of Uber. He just asked us to comply with regulations.

Can you be more specific?

He asked us to set up a representative office in Indonesia so our position is clear. We were asked to register as a foreign company.

Will you do that?

Yes, we agreed to it. Right now, we are preparing our documents to register with the Capital Investment Coordination Board (BKPM). (*)