Travis Kalanick To Build A Potential Team For CloudKitchens In India

November 1st, 2019

Earlier this year, former Uber CEO Travis Kalanick had announced his entry to CloudKitchens, with his new venture City Storage System. CloudKitchens are restaurants without a dine-in facility or walk-in customers. Travis is now looking at India to expand City Storage System extensively in the country.

Backed by $400 million investment from Saudi Arabia's sovereign wealth fund, the startup is aiming at bringing a transformation in the food delivery industry. The startup is valued at $5 billion. The new system of the shared kitchen will bring a significant impact in India.

Currently, Indian cities are witnessing exponential competition, being Zomato and Swiggy at the forefront. Also, several other beginners are all set to join the feast. 

The growing scope and number of food delivery services bring some issues, as well. Since most of the orders are taken from dine-in restaurants, it becomes difficult for restaurants and food delivery platforms to take multiple orders. Parallel to the demand, the complexities also will increase.

Travis Kalanick To Build A Potential Team For CloudKitchens In India

Cloud Kitchens is a plausible solution for this issue, and it will help both delivery firms as well as restaurants. City Storage System will roll out its service in Mumbai, and later it will expand to Delhi, Bengaluru, and Hyderabad.  

Travis has already discussed the procedure with Zomato and Swiggy and will be collaborating with them. The shared kitchen will help the restaurant eliminate the takeaway-dining catastrophe. Since the kitchens are solely meant for delivery, the owners can easily manage things.

“India is one of the key markets in the priority list right now, just given how interesting the market dynamics are with both large companies (Swiggy and Zomato) investing in inducing a food delivery behavioral change in consumers,” said a person directly aware of the matter to ET tech.

Travis’ CloudKitchens will run the company in Uber’s international expansion structure. A general manager will head the operation of the business in a city through different real estate agents.

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