Uber on demand taxi service continues operations in Austin and Miami despite a ban on its services.
Uber, an on-demand ride-sharing service, has been officially banned in Austin and Miami. According to media reports, the company has been locked in regulatory battles for a while now. In Austin, Uber has been categorized as a "for-hire driving service" and requires a license to charge its customers more than 56 cents per mile. In Miami, Uber has been banned from competing directly with other cab services in the city. Despite this, Uber officials said in a recent announcement that it will continue operations in both cities, GigaOm reports.
"To date, tens of thousands of South Florida residents and visitors have opened the Uber app to connect with a reliable ride, only to find their transportation needs couldn't be met," the company revealed in an official blog post, Wednesday. "Miami deserves better. Today, Miami joins over 120 cities in 36 countries around the world where riders have more choices and drivers have access to more economic opportunities."
Uber relies on a mobile app to contact people across the city. After downloading the app, customers need to fill in their address and credit card details. Their request for a cab is sent to the nearest driver.
Uber recently launched its cab-sharing services in Orlando. Government officials are currently reviewing the service to ensure it complies with local laws. The company also launched its ride-sharing UberX service, which offers fares up to 36 percent cheaper than a taxi. As a part of the promotional deal to kickoff the service in Orlando, Uber is offering 10 free UberX rides in the city.
A similar offer has also been introduced in Miami where the rides are comparatively expensive. The company offers five free UberX rides anywhere in the city, each ride costs up to $40. The introductory offers end June 20 in both cities. Residents need to sign up or download the app for Android and iOS devices.
Lyft, which is Uber's biggest competition, launched its services in Miami last month. Both companies offer the same services, with only their payment option differing. Uber offers a black car service and Lyft's payments are technically "donations." Both these payment modes have upset the local officials, putting both service providers under the "review panel."
Paige Thelen, a Lyft spokeswoman said: "We're committed to working with local leaders to pass new rules for this new, peer-to-peer industry."
Uber currently operates in more than 125 cities across the world and in major US cities like San Francisco, Los Angeles, Chicago, Washington DC, Atlanta and Dallas.
