The Committee for the Development of Competition and Protection of Consumer Rights of the Republic of Uzbekistan has officially recognized Yandex Eats and YandexGo as dominant players in their respective markets. This announcement follows Yandex Uzbekistan’s acquisition of part of Express24’s assets, aiming to consolidate its market influence in the food delivery sector.
On October 1, Yandex Eats and YandexGo UB notified the antimonopoly authority of reaching key dominance thresholds for the food delivery and taxi aggregator services. Dominance in this context is assessed based on several criteria: monthly revenue exceeding BRV 100,000, (UZS 37.5bn ($2.9mn)); more than 50,000 active end users per month, or at least 3,000 active business users per month; and a market share exceeding 40% in a specific service category.
By October 22, the Competition Committee formally recognized Yandex Eats and Express24 as dominant operators in the prepared food delivery aggregator market, while YandexGo UB was acknowledged as the dominant entity in the taxi services sector.
With the designation as a dominant platform, Yandex Eats must adhere to several regulations prohibiting over 20 types of anti-competitive practices. Violations may incur fines equating to 5% of the company’s turnover, alongside potential administrative liabilities for company officials.
Additionally, companies in a dominant position must establish and coordinate antimonopoly compliance measures with the Competition Committee to mitigate risks associated with market dominance.
Yandex Uzbekistan’s recent agreement with Express24, announced on October 25, involves acquiring specific assets rather than shares or stakes, thus bypassing mandatory pre-approval from the antimonopoly authority. The purchase will integrate Express24’s technology assets into a single platform under Yandex Eats, enabling the company to expand its digital footprint in the food delivery space.
The acquisition includes software programs and applications for users and couriers, databases containing user information and the Express24 website, domain names associated with Express24, and trademarks such as "Express24: Delivery Service."
The remaining assets of Express24’s parent company, Newmax Technologies, including the My Taxi service, remain unaffected by the deal. With this acquisition, Yandex Eats’ control is expected to reach 87.5% of Uzbekistan’s food delivery aggregator market, which includes local competitors like Uzum Tezkor, Bringo, and Girgitton, as well as international players like Russia’s Broniboy and Finland’s Wolt.
The Competition Committee has expressed optimism that the market will retain competitive dynamics while closely monitoring the Yandex-Express24 consolidation to safeguard consumer interests.
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