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The next WeChat? Gojek-Tokopedia merger set to form a $40bn super-app

Date

21/09/2021

Written by

Airnow

Tokopedia and Gojek, two of Indonesia’s most valuable tech firms, have reportedly signed a “conditional sales and purchase agreement”, paving the way for the two companies to merge into a $40bn powerhouse.

The deal would combine Tokopedia’s e-commerce business with Gojek’s ride-hailing and payments operations, creating a so-called ‘super-app’ in the process. Both the apps have seen significant growth in downloads in the past couple of years, including a combined 27.4% increase in downloads in 2019 on Android.

To give a comparison for Westerners, this is like Amazon, DoorDash, Uber and PayPal all teaming up to provide their services as part of one single app. The combined entity counts over 100 million monthly active users, more than 11 million merchants and over 2 million drivers in an ecosystem that represents 2% of Indonesia’s $1 trillion GDP, according to a company spokesperson.

Both companies were created by a group of friends in their 20s, who were responding to an emerging wave of internet connectivity taking hold of the country at the time. Founded a year apart in the capital Jakarta, Tokopedia started in 2009 as an e-commerce marketplace to connect small merchants with buyers, while Gojek launched in 2010 as a ride-hailing platform for motorbike taxis.

Then in 2015, the two began working in partnership, using Gojek drivers to provide same-day delivery for Tokopedia products during their off-peak riding hours. The partnership has since flourished, prompting last month's announcement of the merging of the two businesses.

What's next?

With its combined resources and thriving businesses that work together like hand in glove, the future is bright for millennial tech founders. William Tanuwijaya, the co-founder of Tokopedia, said that “GoTo comes with a big responsibility” after it was announced that GoTo would be embarking on an ambitious sustainability pledge: zero waste, zero emissions by 2030.

This is just the beginning for what is already one of the world’s biggest apps. Let’s see just how far they go.