Uber plans to acquire Autocab, a manufacturer of SaaS for booking and dispatch software for the taxi and private hire vehicle industry that operates a global travel market for taxis and PHVs (I go), Being watched by the UK Contest Watchman – who Announced Launch of an investigation today.
The merger is cited for an in-depth investigation on the deadline for a decision by the Competition and Markets Authority (CMA) on 26 March.
Uber announces its intention to finally acquire Britain-based Autocab August.
Competition ideas could arise if Uber, a provider of ride-hailing services that competed with traditional taxis and private hire vehicle firms for customers, had to close AutoCab’s alternative travel booking market, or it should be in those select markets The closure was where the own ride-hailing service operated, for example.
However, at the time it announced the acquisition, Uber said it planned to support Autocab’s expansion of SaaS and iGo internationally. The move also intends to provide more opportunities for Uber drivers to take work from outside their own platforms, including delivery work, as Ride-Helling faces a demand during the COVID-19 epidemic Is kept.
However, the overlap between AutoCab’s iOS marketplace and Uber’s Core Ride service certainly merits questions asked about the risk of competition.
The CMA has opened an invitation to comment on the merger – the February 12 deadline for submissions.
“CMA is considering whether this is so or may be that this transaction, if carried out effectively, would create a relevant merger situation under the merger provisions of the Enterprise Act 2002 and if so , Then this situation can be expected to result in significantly reduced competition within any market or markets in the United Kingdom for goods or services, “it writes:” To assist with this evaluation, the CMA Invites comment on transaction from someone interested party. “
Commenting on the investigation in a statement, an Uber spokesperson said: “We are fully cooperating with the UK Competition and Markets Authority investigation to ensure that it is reviewed as soon as possible. We believe this acquisition is positive for consumers, will help local operators to grow and provide real earning opportunities to drivers. “
This report was updated with Uber’s statement