Uber office raided by police in China
According to the Chinese news agency Xinhua, the local office of Uber, an online ride-hailing service, has been raided by authorities in the southern Chinese city of Guangzhou as they suspected of ‘unlicensed operation’, seizing a number of mobile phones.
An official with the city's traffic authority told Xinhua regarding the raid. The official said that Uber is suspected of unlicensed operation and doing illegal business by permitting private car owners to provide taxi services.
According to the official, Uber was not particularly targeted, as the raid was related to a broader attack on illegal taxi services by private drivers. As per reports, a representative for Uber in China was tried to be contacted for comment through telephone and an email, but there was no response.
According to Chinese research firm iResearch, Uber came a bit late to China, where mobile taxi-hailing app users are all set to become triple to 45 million by 2015 compared with 2013.
Domestic firm Kuaidi Dache and Didi Dache, supported by tech giants Alibaba Group Holding Ltd and Tencent Holdings Ltd respectively, have covered 90% of this market. The two firms said in February that they would merge.
According to a spokesperson for Uber, the company "prides itself on providing efficient and convenient transportation options for riders to get from point to point, helping cities reduce congestion pollution. We have maintained open channels of communications and are working closely with local authorities in cooperation".
Earlier also drivers in China using Uber have been fined and even their vehicles were seized. These things are creating problem for the company as it disrupts the taxi industry. The company is facing criticism because of all this and people are protesting frequently.
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