Uber will soon include New York City (NYC) taxi cabs in its app due to driver shortages and an increase in food delivery requests during the pandemic. It is a partnership that would have been inconceivable until recently because of the fierce competition between the two camps for the same clients..
Uber and NYC taxi cabs deal will improve the amount of rides available after a period in which Uber ride wait times climbed due to a driver shortage. It will provide cab drivers in New York City access to a vast pool of commuters. The commuters must have downloaded the Uber app to their phones.
Tensions between Uber and taxi companies appeared to be melting. It is due to Uber aggressively expanding into the lucrative food delivery business and requiring an increasing number of delivery drivers.
As millions of people sought refuge at home during the pandemic, Uber’s food delivery outperformed human rides. In the fourth quarter of 2021, Uber’s gross bookings for delivery services totaled $13.4 billion. In comparison, Uber rides generated $11.3 billion in gross bookings.
The agreement was announced on Thursday against a backdrop of increasing governments attempts to control Uber and other app-based taxi services. It also included New York City, which in 2018 imposed a temporary cap on new ride-hailing permits.\
Uber is returning to its roots: yellow cabs
Uber’s largest market in the United States is New York City.
The New York City Workers Alliance represents taxi drivers and has been skeptical of Uber and other ride-hailing apps. It has stated that it will push for talks.
“After its business model has shown the failures to protect drivers from ridership downturns and rising gas prices, Uber is returning to its roots: yellow cabs,” says Bhairavi Desai. She is the executive director of the NYCWA.
The NYC Taxi and Limousine Commission said that it is looking for methods that can help drivers earn more money.
“We are excited about any proposal to more easily connect passengers with taxis and look forward to learning more about this agreement between Uber and the taxi apps and ensuring it complies with TLC rules,” said Ryan Wanttaja, acting commissioner.
One industry analyst, who closely follows Uber, has dubbed the union of long-time rivals “pure genius”. Due to the popularity of ride-hailing apps, Uber was unable to find drivers in New York City. Along with that, taxi drivers were also unable to find work.
“I think they realized that they both need each other over the short term,” said Bill Selesky. He is a senior analyst for Argus Research.
Uber partnerships
For some years, Uber Technologies Inc. has been integrating cab drivers from all around the world into its system. In Madrid, Málaga, Valencia, and Barcelona, the corporation has integrated taxis. It’s partnered with TaxExpress in Colombia, which has over 2,300 active drivers. The TaxExpress collaboration in Colombia accounts for half of all Uber taxi trips in Latin America. In Austria, Germany, Turkey, South Korea, and Hong Kong, Uber has partnerships with taxi software and fleet operators.
Uber is partnering with tech firms Creative Mobile Technologies and Curb in NYC. It is to make all taxi cabs in the city available on its app.
Anyone with the Uber app will have access to the CMT/Arro platform’s thousands of yellow cabs. On their driver monitors, which they already use to service e-hails from the Arro taxi app, taxi drivers will see Uber-sourced fares.
“Uber has a long history of partnering with the taxi industry to provide drivers with more ways to earn and riders with another transportation option. Our partnerships with taxis look different around the world, and we’re excited to team up with taxi software companies CMT and Curb, which will benefit taxi drivers and all New Yorkers,” says Andrew Macdonald. He is the senior vice president, Mobility and Business Operations, at Uber.
Beta version
Creative Mobile Technologies announced on Thursday that cab drivers using its platform, which includes the Arro taxi app, will have access to Uber’s client base, allowing them to take more trips and earn more money.
A beta version for taxis will also be released this spring,. The general public will then be able to use it this summer, according to Creative Mobile.
Curb provides a ride-hailing app in North America for licensed taxi and for-hire trips. It said the new cooperation with Uber would likewise begin in New York City. Then, it will spread to its nationwide network in the coming months.
Drivers on the Curb platform can receive and accept Uber trip offers using their existing in-vehicle systems. They also receive the Curb app demand and traditional street hails.
