Uber enters Lithuanian market

Uber, a U.S.-based transportation ride sharing network, on Tuesday signed an agreement with authorities to launch its services here in Lithuania.

Remigijus Simasius, the mayor of Vilnius, and Alexander Lobov, Uber's international manager, signed a memorandum of understanding allowing the firm to enter Vilnius' transport market.

Simasius said Vilnius needed higher quality transportation services.

"We want a decent and fast service, car sharing, decreasing traffic jams. Uber can come as an alternative to traditional taxi services," said Simasius in a press release.

Uber has started inviting local drivers to join its network via social media.

"We start with a pilot and work from there. We aim to provide another type of choice to customers," Lobov told BNS news agency.

The company said it would consider expansion to other Lithuanian cities at a later stage.

On Tuesday, the mayor of Vilnius has also met with city's taxi drivers amid wide opposition from traditional companies against the sharing service throughout the Europe.

"If there are new conditions being established in the market, we want it to be equal for all," Ricardas Kriukovas, the head of the taxi service providers' association, told news website delfi.lt after the meeting with the mayor.

Simasius said drivers joining Uber will have to pay taxes.

Since its establishment in San Francisco in 2009, Uber has become present in 300 cities in 58 countries. Before entering the Lithuanian market, the company established its software and development division in Vilnius a year ago. Endit