Uber Will Pay Transportation Licenses For Legal Taxi Service in Germany

Mar 28, 2015 07:24 AM EDT | Matt Mercuro

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Uber is hoping to introduce a new service in Germany by this summer that will let its taxi-hailing service operate legally in what the company considers to be Europe's biggest economy, according to weekly magazine Wirtschafts Woche (WiWo).

The Silicon Valley-based company is attempting to revolutionize the local transportation business worldwide, from taxis to carpools to even food delivery. It has faced criticism however for its business style of acting first and seeking permission later.

The decision to introduce a new service in Germany comes shortly after a German court announced that Uber was banned from operating its services over issues with unlicensed cab drivers. The court set hefty fines for anyone who violated local transportation laws.

The magazine claims Uber's new service will let drivers hold commercial passenger transportation licenses, which will cost about 100 euros ($109) to 200 euros.

Fortunately for drivers, all licenses will be paid by the taxi-hailing app company, the magazine reported, citing Uber's Fabien Nestmann.

"We will also pay the 150 to 200 euros it would cost our partners to have the Chamber of Commerce license them as taxi companies," Fabien said.

The name of the new service has not been announced yet by Uber, but the magazine said it will be similar to UberX to match services offered in the UK and France.

Uber is valued at around $40 billion currently in its latest fundraising. Currently, Uber has also been hit by court injunctions in Belgium, France, the Netherlands and Spain.

Earlier this week it was announced that Uber and rival Ola could be blocked in India by New Delhi authorities to enforce a ban on both of their services.

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