South Korea’s capital Seoul says it plans to ban the smartphone car-hailing service Uber, because it raises passenger safety issues and threatens the livelihood of licensed taxi drivers.<\/p>\n
The Uber app which allows clients to connect directly with “black car” services was launched in Seoul in August last year.<\/p>\n
But the city council said it bypassed strict controls imposed on licensed taxi drivers, including background checks, insurance and vehicle upkeep and safety.<\/p>\n
“We are looking into related laws to block Uber and similar apps that arrange such illegal transportation activities,” the council said in a statement.<\/p>\n
“Uber users should be aware that it’s hard to be covered by insurance even if a car accident occurs, let alone the issues of potential mechanical problems and background of drivers,” it said.<\/p>\n
The council said it would roll out its own mobile app for hailing existing, licensed taxis in December.<\/p>\n
“Uber is charging customers while avoiding the regulatory process, which creates unfair competition for taxi drivers and encroaches on their business,” it said.<\/p>\n
California-based Uber is the most prominent of the apps that are shaking up the traditional taxi landscape in cities around the world.<\/p>\n
It has already faced significant resistance from regulators in several countries, who accuse it of unfair competition and lack of standards.<\/p>\n
The firm also sparked angry protests by cab drivers in nations including France, the US and Germany who fear it is chipping away at their client base.<\/p>\n
Uber operates in 41 countries in the Americas, Europe, the Middle East, Africa and the Asia-Pacific.<\/p>\n
Uber taxi service expands in SA<\/strong><\/a><\/p>\n