London Doesn’t Renew Uber’s License in a Blow to Ride-Hailing App
Friday came as a shock to Uber who lost its license to operate in London. The move is a huge blow to around 40,000 driver partners associated with Uber and around 3.5 million users of the ride-hailing service next week.
As per the London’s transport authority, the Silicon Valley’s giant didn’t fit in the rules and wasn’t fit to be given a private vehicle license. Uber‘s license not being renewed will have a serious impact as Uber has 40,000 drivers in London where it accounts for a third of private vehicles hired. Now, Uber has said that it’ll contest the decision and accordingly, the regulator, Transport for London will allow Uber to operate till the process of appeals is exhausted.
TfL cited the Uber’s approach on background checks on drivers, software called Greyball, which can be used for blocking regulators from gaining proper access to the app and reporting various serious criminal offenses.
Uber is valued at around $70 billion and has investors including Goldman Sachs. The company has been facing protests from around the world for changing the long-established taxi markets.
The ride-hailing app has been shown the door by quite a few countries, that include Hungary and Denmark that canceled Uber’s License. It has also faced multiple regulatory battles around the world and in multiple U.S. states.