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A price war has started across the world among taxi companies. There is more competition for passengers because of apps to order taxis. Some companies are cutting fares in half to beat competitor companies. The world's biggest taxi-booking app is called Uber. It started in 2009 and operates in over 200 cities worldwide. Drivers of London's black taxis are unhappy with apps. They say that drivers of app cabs are too inexperienced. They do not have enough knowledge of London's streets. London taxi drivers have cut some of their fares from $45 to $7.50.
The U.K. boss of Uber said the price war would mean higher profits for his company. He said: "There's a lot of competition over the app makers….You need to think of things that you can do to stand out from the crowd." A London black cab driver said business was good despite the app companies. He said: "There are lots of technologies that are changing things for us." One of New York's biggest taxi companies wants Uber's license to be suspended. In Singapore, the government has just announced that it would start regulating taxi app companies.
Back to the taxi apps lesson.
