New Yorkers ordering a ride on the Uber app could choose a yellow taxi as part of a new partnership between the transit company and two taxi tech companies.
The taxi option will begin later this spring and will be available to all Uber riders in New York, Uber said.
Uber riders will pay about the same price for a yellow cab as for an UberX car, which is the basic individual ride, according to Uber. They will get an up-front price in the app before requesting the trip, as they currently do with all Uber rides.
Yellow cab drivers who answer calls from the Uber app will also see the price of a ride in advance and, as part of the deal, have the option to accept or reject it. Uber’s partnership with taxi companies Curb and CMT was first reported Thursday by The Wall Street Journal.
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The Uber-taxi partnership comes as New York’s beleaguered yellow cab industry has been decimated by the coronavirus pandemic as more people have worked from home and many tourists have stayed away.
But even before the pandemic, taxi drivers were losing fares to ride-app services from Uber and Lyft and facing financial ruin after taking out loans to buy medallions — permits issued by the city needed to own a yellow cab – at inflated prices.
Uber has faced its own challenges during the pandemic, struggling to find enough drivers to meet demand. The new partnership will help alleviate the shortage and will also generate more revenue for the company as it collects fees on every ride ordered through its app.
The new Uber-taxi partnership did not require approval from the city’s Taxi and Limousine Commission, which oversees the taxi industry, city officials said, although the agency still monitors taxis. rules applicable to for-hire drivers.
New Yorkers will still be able to wave to yellow cabs on the street.
Uber said it will provide more details on the taxi option in the coming months. Uber already has partnerships with taxi fleets and technology companies in other cities around the world, allowing Uber users to order taxis on the app.
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“Uber has a long history of partnering with the taxi industry to provide drivers with more ways to earn money and passengers with another transportation option,” said Andrew Macdonald, senior vice president of mobility and business operations for Uber. “Our taxi partnerships are different around the world, and we’re excited to partner with taxi software companies CMT and Curb, which will benefit taxi drivers and all New Yorkers.” »
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