Moove Chases Gains In ‘Greener Pastures’ Amid Profit Struggles At Home

Moove, one of Africa’s most well-funded startups, is charting new territory as it aggressively expands into international markets, with the U.S. being of interest lately after making headway in India, the U.K., and U.A.E. Its latest move has it turning a new corner with a landmark partnership with Waymo, Google’s autonomous vehicle subsidiary.

The deal, which tasks Moove with managing fleet operations for Waymo’s robotaxi services in Phoenix and Miami, marks the company’s most ambitious move yet into advanced mobility solutions. A Waymo spokesperson highlighted the synergy, saying Moove’s “global experience and operational expertise” made it a perfect partner for managing robotaxi operations.

For a company that started in Nigeria financing vehicles for ride-hailing drivers, this collaboration with a global leader in autonomous technology is a striking evolution. It signals Moove’s bid to position itself as a global player in fleet management, leveraging partnerships to find profitability after years of headwinds in its home market.

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While the global push signals ambition, it also highlights the operational and economic headaches the mobility fintech has faced on its home turf with Ghana and South Africa among its Africa base.

The company, which finances vehicles for gig workers, is betting big on profitability in high-growth regions outside Africa. These markets already show promise with Moove claiming profitability in both the U.K. and U.A.E, for instance. But the pivot away from Africa is as much a necessity as a choice.

Moove’s African operations have been plagued by rising transportation costs, volatile economies, and pushback from gig drivers struggling to meet repayment terms. These struggles culminated in protests by drivers in Lagos in 2023 over what they called “unfavourable repayment terms.” Moove attributed the tensions to “unprecedented economic challenges” in Nigeria, which have constrained both drivers and the company while introducing some interventions.

Import duties and limited access to affordable new vehicles have further compounded the problem. These structural barriers have made profitability elusive in many African markets, pushing Moove to pivot its strategy. A Moove executive declined to comment on the issues on the homefront and the evolving game plan. However, Ladi Delano, the company’s co-CEO, previously acknowledged the economic hurdles to Rest of World earlier this year, emphasising the need for a global strategy.

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The Waymo deal is just one part of Moove’s aggressive push into international markets. In October, the company expanded to Mexico, marking a significant milestone in its LatAm expansion. Backed by over USD 500 M in funding from marquee investors, Moove now boasts operations in 12 markets across four continents, serving 30,000+ mobility entrepreneurs.

Moove has also deepened its presence outside Africa, where its focus on electric vehicles (EVs) and partnerships with Uber are driving growth. These markets offer better margins and lower operational risks than the company’s African base, where economic volatility and steep taxes on vehicles have stymied growth.

Central to Moove’s global ambitions is its push for EVs, which align with its sustainability goals and profitability strategy. In the UAE, Moove’s fleet is 100% electric, and the company plans to introduce over 20,000 EVs in India. EVs are cheaper to maintain and fuel, and in some markets, they benefit from government subsidies.

In regions like the U.K. and UAE, this strategy is already bearing fruit, according to Delano, who also predicts company-wide profitability by 2025; a milestone the company has been chasing since its 2020 launch.

Despite its successes, Moove faces challenges in adapting its model to diverse markets. In India, drivers have complained about vehicle repossessions following short-term payment lapses. Moove has defended its practices, with Delano explaining that repossessions are a “last resort” after extensive support efforts. These tensions highlight the fine line Moove must walk as it scales its operations globally.

Nevertheless, the partnership with Waymo symbolises Moove’s readiness to take bold steps into the future of mobility. At the same time, the startup is working to solidify its position in traditional ride-hailing markets like Mexico and India, balancing innovation with the steady growth of its core business.