Uber’s exit boosts Hungarian taxi traffic

Competition

LaMography/Moni Lazar

After the exit of ride-sharing app operator Uber from the Hungarian market, the traffic of Hungarian taxis is thought to have increased by 50-60%, Miklós Tamás, the chairman of Hungarian taxi firm City Taxi, told Hungarian daily Világgazdaság.

The chairman told the paper that orders for a single cab have significantly increased since Uber and similar service providers that “operated illegally” exited the market. According to Tamás, some drivers serve 16-20 customers on a daily basis, while before Uber’s departure the number was around 12-14.

Uber left the market last year when the Hungarian government decided to tighten the regulatory environment related to personal transport, after taxi drivers had held regular strikes against Uber and similar service providers. Uber left the market, claiming that its business model was not ready to conform to the latest regulations.

However, soon after Uber left, a similar service provider named Taxify entered the Hungarian market, and another competitor is expected to arrive soon in the shape of Slovakiaʼs Hopin, which Hungarian online daily index.hu describes as providing an essentially similar service to Uber.

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