Connect with us

Hi, what are you looking for?

The American GeniusThe American Genius

Business News

Uber is saying farewell to an entire country because they don’t like their laws

(NEWS) Uber is still trying to operate above the law and is now pulling out of an entire European country because they weren’t having it.

uber greyball

Packing up its toys and going home

Uber announced it is voluntarily pulling all of its business from the country of Denmark by April 18. All because of a law.

bar

Their newest hissy fit

In February, the Danish government passed a new set of regulations for commercial drives that is being dubbed as the “taxi law”.

The new measures introduced includes mandatory fare meters and seat sensors and video surveillance.

Uber started operating in Denmark in November 2014. Like all other countries, it became extremely popular with users. However, after just over two years of operations, its run is ending.

Trying so hard for a loophole

Originally, Uber was determined to weather this new law by arguing that Uber considers itself as a private carpooling system rather than a taxi company. However, that stance has clearly changed since.

Advertisement. Scroll to continue reading.

Uber seems unwilling to adhere to the new requirements.

Its solution—to pull its app that is used by at least 2,000 Danish drivers serving over 300,000 riders.

Uber trying to be above the law

In a statement, Uber made its decision very clear: “For us to operate in Denmark again the proposed regulations need to change”.

The ride-share company has faced criticism within Denmark since the beginnings of its operation.

Many driver unions, politicians and companies have pointed out that the app posed unfair competition because it never met strict legal standards of operation that other commercial taxis had to follow.

Uber ran into legal problems within Denmark as well

In December, Danish prosecutors charged Uber’s European division with assisting two drivers in violating taxi laws. In June last year, Copenhagen Post also reported at least 33 of their drivers were charged for operating illegally.
Jan Villadsen, president of transport at 3F, a union, said:

“When [Uber] started two and a half years ago it was illegal and was ruled illegal several times.”

He added, 6000 taxi drivers will continue to make a living because Uber is leaving.

Advertisement. Scroll to continue reading.

This is not the first time Uber has pulled its operations

Uber stopped operating in Austin, Texas (along with Lyft) in early May last year, when voters upheld strict regulations on the ridesharing companies, including fingerprint based background checks.

[clickToTweet tweet=”Granted, Austin is a city. Denmark is a whole country. But Uber doesn’t care. They’re leaving anyways.” quote=”Granted, Austin is a city. Denmark is a whole country.”]

Nevertheless, if Austin is any lesson, as Avery Hartsmans of Business Insider reported, “Uber and Lyft declined to participate in a community conversation on (security) issues to help develop new forward looking government structures…Uber and Lyft may have left town, the city of Austin seems to be doing just fine without them”.

Bye Felicia

The Danes may have a similar experience soon. One-upmanship with the law has never gone Uber’s way thus far.

There is no reason to hope it would be any different this time around.

Advertisement. Scroll to continue reading.

#FarvelUber

Barnil is a Staff Writer at The American Genius. With a Master's Degree in International Relations, Barnil is a Research Assistant at UT, Austin. When he hikes, he falls. When he swims, he sinks. When he drives, others honk. But when he writes, people read.

1 Comment

1 Comment

  1. Le Sellers

    March 29, 2017 at 3:00 pm

    Thus it always will be: those entrenched in the system will obstruct and try to destroy innovators. They’ll label it “safety concerns, and “protection for the consumer”, but it is, in the end, protectionism for the establishment.

    Those who pay will be the consumers.

Leave a Reply

Your email address will not be published.

The
American Genius
news neatly in your inbox

Subscribe to our mailing list for news sent straight to your email inbox.

Advertisement

KEEP READING!

Business News

(BUSINESS) If you drive for popular delivery services as a side hustle or your full-time job, check out how much you could save on...

Business News

(BUSINESS) Uber isn't new to in-app expansion, especially since its grocery and goods delivery service took off - now, Uber will let you choose...

Business News

(BUSINESS NEWS) The battle for Uber and Lyft drivers' status continues, and despite company protests, the official ruling has been upheld.

Business News

[BUSINESS NEWS] Uber and Lyft must reclassify their drivers as employees, which could spell the end of the sharing economy as we know it....

The American Genius is a strong news voice in the entrepreneur and tech world, offering meaningful, concise insight into emerging technologies, the digital economy, best practices, and a shifting business culture. We refuse to publish fluff, and our readers rely on us for inspiring action. Copyright © 2005-2022, The American Genius, LLC.