UberTAXI Waits For New York City

This past September, New York City changed one of its rules about taxis that effectively stopped car-hailing smartphone app developer Uber from operating in the city. The new rule states that “a driver must not use any electronic communication device, including a cellphone or smartphone running a hail or payment app while operating a taxicab.” It now appears Uber has given up in New York, at least temporarily, according to a statement issued on Oct. 16.

"We did the best we could to get more yellows on the road, but New York's TLC (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," Uber CEO Travis Kalanick said. "We'll bite our tongues and keep our frustration here to ourselves."

Uber has faced opposition in several of the cities it operates in, including Washington, D.C., where the company initially faced opposition that was overturned by public outcry from people who evidently wanted to hail taxis with their smartphones. Uber is now planning to stop service in New York City, although with the city's new rule expiring in February 2013, there's a possibility of return.

In September, Mayor Michael Bloomberg's office issued a tweet reading, “We are excited about taxi apps and working to make them legal soon.”