Why your next New York City Uber could be a yellow taxi
It's a move that may soon make it easier (and cheaper) for New York City passengers looking to catch a ride amid a driver shortage and rising gas prices.
Riders will have access to yellow cabs on the Uber app starting later this year, the tech company confirmed to TPG. The change could also mean that the skyrocketing costs for the ride-hailing service might start to come down.
It's welcome news for carless New York City residents, who will have access to thousands of yellow taxi drivers via the Uber app. This will provide more driver options for riders while potentially lessening frustration due to surging fares and long wait times due to low availability.
"Uber has a long history of partnering with the taxi industry to provide drivers with more ways to earn and riders with another transportation option," said Andrew Macdonald, senior vice president of mobility and business operations at Uber. "Our partnerships with taxis look different around the world, and we're excited to team up with taxi software companies CMT and Curb, which will benefit taxi drivers and all New Yorkers."
Thursday's announcement is the result of a partnership between Uber, Creative Mobile Technologies and Curb Mobility, the latter of which are taxi tech software providers for the city's taxis. Working together, the three companies expect to begin rolling out services later this spring, with a full launch this summer, before eventually comprising 100% of New York City cabs on the Uber platform, according to Uber.
Uber hopes this will be a win-win for both riders and drivers, who have collectively suffered from higher fuel prices.
New York City's Taxi & Limousine Commission recently implemented a for-hire vehicle minimum wage including a 5.3% cost-of-living increase for Uber and Lyft drivers. That does not apply to taxis, but the TLC has hinted they may also get that raise. A fuel surcharge implemented by Uber in response to rising gas prices doesn't include New York City because of the new minimum wage law.
The tech giant says the partnership will yield more trips and revenue for its drivers due to expanded access to Uber's customer base, adding to the existing driver fleet of approximately 90,000 New York City-based Uber drivers.
Related: You can finally see what your Uber drivers really think of you
"This is a real win for drivers – no longer do they have to worry about finding a fare during off-peak times or getting a street hail back to Manhattan when in the outer boroughs," Guy Peterson, director of business development for Uber, said in a press statement on March 24. "And this is a real win for riders who will now have access to thousands of yellow taxis in the Uber app."
Although this alliance is the first of its kind domestically, Uber has partnered with taxi software and fleet operators globally for many years, including in Spain, Hong Kong and Turkey, as riders continue to use Uber to request trips with taxis in dozens of intentional cities.
Currently, Uber has more drivers in the U.S. than at any point during the COVID-19 pandemic, and the company has not reported a loss of drivers in the U.S. and Canada, despite high fuel prices.
"New York City is back!," Ron Sherman, chairman of Creative Mobile Technologies, said in a press release. "As businesses bring their employees back, as tourists flock to New York City again and as New Yorkers start going out and replenishing our local economy after a devastating pandemic, yellow taxis and Uber are bringing the best our industries have to offer to help this city get back on its feet."
Read more: You can now make dinner reservations, buy concert tickets and more with Uber Explore
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 5X | New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App. |
| 3X | Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. |
| 2X | Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
- Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.