Uber said it plans to start listing all New York taxis through its app – a surprise change that should throw a lifeline to the city’s struggling yellow cabs.
A limited number of New Yorkers will be able to start hailing yellow cabs through the Uber app starting this spring before the feature is fully rolled out over the summer, said the taxi technology provider and partner of ‘Uber Creative Mobile Technologies in a statement Thursday.
Customers will pay roughly the same amount for taxi rides as for Uber X rides, Uber spokesperson Conor Ferguson confirmed to The Post.
While Uber drivers in New York aren’t able to see what a trip will cost before deciding whether or not to take it, the roughly 14,000 taxi drivers covered by the partnership will have that option. Taxi drivers will be paid the same rate as Uber drivers when accepting rides through the app, according to Uber.
“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 of Uber’s business operations, in a statement to The Post.
“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,” Macdonald added.
Uber stock jumped 5.3% in premarket trading early Friday, shortly after the Wall Street Journal first reported the news.
The partnership represents a step change after years of hostility between taxi drivers and the ride-sharing industry.
The rise of Uber and Lyft in the 2010s contributed to the fall in value of taxi medallions, wreaking havoc on the industry and leading to widespread protests by taxi drivers.
Last fall, former mayor Bill de Blasio’s administration reached a deal to cap medallion loans at $170,000 after a two-week hunger strike by desperate taxi drivers.
The deal also comes as Uber faces its own driver shortage and grapples with soaring gas prices. Adding taxis to the app could help appease customers frustrated with the lack of available vehicles.
Taxis are already available through the Uber app in several cities, including Barcelona and Hong Kong.
New York Post