Uber Shuts Down Yellow Cab Service in New York

uber, mobile apps, social appsThe mobile cab-hailing company Uber announced Tuesday that it has shut down its yellow cab service in New York, but will keep its town car service running.

Uber has evidently met with forces that aren’t appear ready to be disrupted: unions and taxi medallion bureaucracies.

“New York’s Taxi and Limousine Commission put up obstacles and roadblocks in order to squash the effort around e-hail, which they privately have said is legal under the rules,” co-founder and CEO Travis Kalanick wrote in a blog post.

According to the post, Uber’s yellow-cab beta didn’t work because users didn’t have access to enough cabs, and the commission refused to make more available.

Uber has run into regulatory hurdles in metro Boston and San Francisco, but is currently allowing users to hail cabs by phone in both cities.

The San Francisco-based company hopes to re-introduce yellow cab service in New York next year, Kalanick wrote.

Related Stories
Mediabistro Course

Pinterest Marketing

Pinterest MarketingPin your way to a wider audience! Starting December 1, work with the VP of Marketing at SheKnows to learn how to leverage Pinterest for your brand. In this course, you'll learn how to create a Pinterest Playbook to develop and measure your marketing strategy, grow a follower base, run an effective contest, and stay updated on the best practices for this platform. Register now!