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Uber resumes operations in Taiwan with new business model

Xinhua, April 13, 2017 Adjust font size:

TAIPEI, April 13 (Xinhua) - After suspending business on the island for two months, Uber announced their return to the Taiwan market Thursday, after several rounds of negotiations with regulators.

Taiwan insisted that the company could only operate as a "technology platform" rather than as a transportation company because it registered as such when it entered Taiwan in 2013.

"Uber will partner with local car rental companies and mainly work as an online booking platform on the island," said Ku Li-kai, Uber's general manager in Taiwan.

Only licensed commercial drivers registered with local rental car companies can accept orders on Uber. Users place orders on Uber and select rides based on driver information and price. Uber does not provide price comparison but only shows one price from one company at a time. If the passenger does not like the price offered, another request must be made.

Though authorized to resume operations, Uber still faces huge fines amounting to over 830 million new taiwan dollars (27 million U.S. dollars) for unlicensed ride-sharing services.

In February alone, Taiwan's transport authority issued 22 fines to Uber amounting to over 230 million new Taiwan dollars, and ordered the company to suspend services. The company later announced it would quit Taiwan.

Ku said Uber would continue to work with authorities to settle the issue. End i