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Uber Teams Up With The Taxi Industry To Allow Taxi Drivers Into Its Network

Introducing, UberTaxi.

Cover image via Boston Globe / Asia One

Uber Malaysia has signed a memorandum of understanding (MoU) with a taxi association to launch a new programme that will see taxi drivers joining the ride-sharing service

According to Malay Mail Online, GABUNGAN, an association representing Malaysian taxi companies, signed the MoU with ride-hailing giant Uber yesterday.

The aim of this partnership is to launch UberTaxi, a pilot initiative that will see an initial 500 taxi drivers using the Uber platform

Image via Asia One

The drivers are required to conform with Uber's driver and vehicle requirements, meaning they will be subjected to background checks as well.

Fares will be based on the company's UberX budget-end service, including dynamic fares for periods of high demand.

GABUNGAN president Shalahuddin SM Amin said the programme will allow cabbies to earn extra cash during idle time

Image via Kenny Sia

“This way, they can potentially earn more money by spending more time earning ride fares, instead of spending time idling and waiting for rides,” he said as quoted by Tech In Asia.

In addition, Uber Malaysia said the partnership shows the ride-sharing service's commitment to improving public transportation in the country

"Uber believes this partnership will provide a tangible demonstration of how giving more people the power of choice at the touch of a button makes things better for all - driver-partners, riders, and the city," Uber general manager for Malaysian and Singapore, Warren Tseng said in a statement.

This comes as a surprising turn of events, as ride-sharing services and the taxi industry have had a pretty tumultuous relationship in the past: