|Uber stock jumps on deal to offer New York City taxi rides in app|
PUBLISHED THU, MAR 24 20229:05 AM EDT
UPDATED AN HOUR AGO
-- Uber on Thursday reached a deal to list New York City taxis on its app.
-- As part of the agreement, two taxi-hailing apps will integrate their software with Uber’s.
-- It marks a significant reversal for Uber, which has faced opposition from taxi companies since its founding in 2009.
Uber has reached an agreement to list New York City taxis on its app.
Two taxi-hailing apps, operated by Curb and Creative Mobile Technologies, will integrate their software with Uber, allowing users to book taxi rides in the Uber app, the companies announced Thursday. Uber said it expects to launch the feature later this spring.
News of the deal sent Uber shares up as much as 4% on Thursday.
“This is a real win for drivers – no longer do they have to worry about finding a fare during off peak times or getting a street hail back to Manhattan when in the outerboroughs,” said Guy Peterson, Uber’s director of business development, in a statement. “And this is a real win for riders who will now have access to thousands of yellow taxis in the Uber app.”
The agreement marks a sizable shift for Uber, which has faced opposition from traditional taxi services since its founding in 2009.
It also comes as Uber, Lyft and other ride-hailing companies grapple with a shortage of drivers. After a dramatic decline in traveling due to the coronavirus pandemic, ride-hailing companies have struggled to bring drivers back to full speed, which has made rides more expensive.
Uber CEO Dara Khosrowshahi teased last month plans to bring more taxis onto the Uber app, beyond New York City.
“I will tell you we wanna get every single taxi in the world onto our platform by 2025,” Khosrowshahi said in an interview with CNBC’s Andrew Ross Sorkin.
Taxis are already available in the Uber app in other countries, including Spain, Germany and South Korea.
Uber stock jumps on deal to offer New York City taxi rides in app (cnbc.com)