Uber Technologies Inc. will list New York’s yellow taxis on its app, the first alliance of its kind in the U.S. in an effort to ease a driver shortage and pressure on fares.
The ride-hailing giant reached a deal with the New York City Taxi & Limousine Commission’s technology partners, Creative Mobile Technologies and Curb Mobility, the companies said in separate statements. Their apps, Curb and Arro, power the vast majority of the city’s yellow taxis and will now allow riders to book trips in taxis through the Uber app.
The partnership with CMT will be piloted in the spring and role out more widely in the summer.
“This is a real win for drivers – no longer do they have to worry about finding a fare during off peak times or getting a street hail back to Manhattan when in the outer boroughs,” said Guy Peterson, Uber’s director of business development. “And this is a real win for riders who will now have access to thousands of yellow taxis in the Uber app.”
Uber shares rose 5.6 percent to $34.92 in premarket trading. The Wall Street Journal reported the move earlier.
Reuters and Bloomberg contributed to this report.