Uber Technologies (NYSE:UBER) has teamed up with London’s iconic black taxis, marking a big win for the ride-hailing service provider. Effective today, London’s black taxi drivers will be able to sign up for trip referrals on the Uber App. The full-fledged service will go into effect in early 2024.
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Notably, Uber has signed a deal with all 15,000 cab drivers in London. The tech company announced that London’s taxi service will be enabled via a Black Cab option on Uber’s app. The fare of the ride will be decided based on the taxi meter and the distance covered. Further, Uber will not charge a commission to the London cabbies for the first six months. This deal marks another stride in Uber’s expansion strategy, aligning with similar agreements made with taxi drivers in New York City, Paris, Rome, and Los Angeles.
Uber’s London Dreams Could Shatter
Uber has been at odds with London’s black taxi business in the past. A few trade groups are unhappy with yesterday’s announcement since they claim their prior consent was not obtained. The Licensed Taxi Drivers’ Association (LTDA), for instance, explicitly states that its cab drivers have no inclination to join the Uber app. A representative for the LTDA, which represents some 10,000 drivers, noted that London’s black taxis are already available on several local apps. Plus, the group has no interest in “sullying” its name by joining hands with Uber.
What is the Uber Stock Prediction?
With 30 unanimous Buys, UBER stock has a Strong Buy consensus rating on TipRanks. Also, the average Uber Technologies stock prediction of $61.57 implies 9.5% upside potential from current levels. Year-to-date, UBER stock is up 49.7%.
