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Careem set to invest $100m to expand R&D service

Careem, an app-based car service, has announced a new research and development (R&D) strategy and plans for global expansion. Over the next five years, Careem will invest $100 million in R&D, which includes growing its team in UAE and Pakistan, and opening new R&D centres in Egypt and Germany.

"Over the last few years, the region has witnessed a surge in technological innovation and has become home to rapidly growing technology start-ups," said Magnus Olsson, co-founder and chief navigator, Careem. "These start-ups are using technology to improve the lives of people in the region."

A key element of the new R&D strategy involves expanding the company's engineering footprint in Pakistan. An additional 50 engineers will join the Careem team in Pakistan.

The engineers will join the company from VentureDive - a technology solutions company that creates and invests in technology products and services that improve people's lives. The new team will work to enhance the user experience, quality and performance of the Careem app.

"We are thrilled to see that a technology team we incubated is being acquired by Careem," said Atif Azim, CEO, VentureDive. "This helps validate our mission of creating products of global prominence out of Pakistan, and takes us a step closer to our vision of creating a technology organisation and an entrepreneurial ecosystem in the region."

The R&D centre in Germany will provide Careem with access to a global talent pool and booming start-up scene to provide its users with a higher level of service and increase awareness of its expanding global presence.

Founded in 2012 by Mudassir Sheikha and Olsson, ex-McKinsey consultants, and Abdulla Elyas, Careem has experienced more than 30 per cent month-over-month growth since its inception and has expanded across 27 cities in the Mena region and Pakistan. The company currently has three million registered users and is backed by investors Saudi Telecom Ventures, Al Tayyar Travel, the Abraaj Group, Beco Capital, Impulse, Lumia Capital and Wamda Capital.
- business@khaleejtimes.com