Top News

AAP govt asks IT ministry to block mobile apps of Uber, Ola

Aam Aadmi Party
government in Delhi has asked the ministry of information technology to block the
mobile applications of taxi-hailing app companies Ola and Uber, alleging that
these companies are not complying with a ban order imposed by it.

Aam Aadmi Party
government in Delhi has asked the ministry of information technology to block the
mobile applications of taxi-hailing app companies Ola and Uber, alleging that
these companies are not complying with a ban order imposed by it.

According to a Business
Standard
report, Delhi transport officials, on Tuesday, have asked Uber and
Ola to cease operations if they wanted their applications for a radio taxi
licence to operate in the city to be processed.

“In order to
process your application further, I am directed to seek a sworn affidavit
declaring therein that you are complying with the ban order imposed upon your
company in letter & spirit.” the letter said.

In December
2014, following the alleged rape of a woman in the capital by a Uber driver,
local authorities had banned aggregators, including Ola and Uber from providing
their services in NCT of Delhi till they get proper licenses from the Transport
department. Following which the companies had submitted an applications to
become a radio-taxi company. However, the Delhi Transport department had
deferred approval of licenses applied by Uber, Ola and TaxiForSure citing gaps
in the applications filled by the companies.

While Uber
returned to the roads after staying away for a few weeks, Ola continued plying
in Delhi. At present, both Ola and Uber operate in the city.

“We are working
with the authorities at every level and have duly applied for a licence in
Delhi. We haven’t received any notice or notification since that. On the other
hand, we have pro-actively gone over and beyond the set requirements in terms
of customer safety measures across the country,” a spokesperson of Ola was
quoted in the report as saying.

Business
Standard reports, citing a senior official at a cab aggregator company, the
government can ask the telecom providers to block the IP address which enables
the users to use these apps. But there is still not adequate clarity on how
hard it could turn out to be for the government to block an app or website. Experts
say that blocking an app is harder than a website.

Despite the
financial stress and legal hassles, the taxi services market in India has
received attention from global investors, primarily because the “radio taxi”
model has emerged as the fastest-growing and most reliable form of public
transport for the world’s second-largest population.

Last year,
Japan’s Softbank infused fresh funds into Ola. According to several media
reports, Ola is close to getting next round of funding from Russian billionaire
Yuri Milner. Recently, Ola acquired its competitor TaxiForSure
for $200 million
in a cash and equity deal.

Rival Uber
recently signed a strategic deal
with Times Internet to support its
expansion plans in India. The deal is centered around a commercial marketing
arrangement accompanied by a small investment.

Image Source: Technewstoday

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Close