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Will Uber really bring 50,000 jobs to Europe?

Uber chief executive, Travis Kalanick unveiled his version of the company's European future ...
Newstalk
Newstalk

16.28 19 Jan 2015


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Will Uber really bring 50,000...

Will Uber really bring 50,000 jobs to Europe?

Newstalk
Newstalk

16.28 19 Jan 2015


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Uber chief executive, Travis Kalanick unveiled his version of the company's European future when speaking in Munich today - and it includes 50,000 new jobs, and 400,000 less cars on European roads.

Since it started operating in Europe, the firm has faced legal action against it in a number of European countries. Critics of the car-sharing company have accused it of breaking competition rules, and failing to carry out sufficient security checks on its drivers and their vehicles.

Uber is currently facing court injunctions in Belgium, France, Spain, Germany and the Netherlands. It has also provoked protests by taxi drivers in other European countries.

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Today's talk at the Digital-Life-Design conference aimed to change the narrative surrounding the company in Europe - highlighting both the jobs that the company can create - and how the company can work with regulators, and other officials to make cities more efficient.

Mr Kalanick says that the rules that the taxi industry operates under are, “old transportation rules that govern an analog service.” He claimed that those with vested interests are using "legal means to avoid progress."

The CEO called on lawmakers to engage with the company and to change their rules to facilitate more efficient transport services.

50,000 jobs might seem like a far-fetched figure - but it is worth remembering that the company is currently valued at $40bn (€34.5bn).

San Francisco is the city where the company has been operating in for the longest period of time (four years) - at this point the service has grown to be worth three times the combined value of the city's taxi industry.

There are early international figures that suggest that Uber is set to continue to grow rapidly in cities across the world.

The next phase of the service is an increase in car-sharing among passengers. Once users flag a lift with their smartphone the app can find other users who are traveling the same way - so passengers can share the ride and split the cost.

In a piece analysing Uber's model, Business Insider suggests that it could "eventually, perhaps, remove some cars from the road." Mr Kalanick is prepared to but a figure on this reduction in Europe - and its 400,000.

It remains to be seen if the company can build bridges with regulators to optimise future growth. While it would be interesting to see how the company came up with either the 50,000, or 400,000 figures - the company is definitely causing disruption, and it will be interesting to watch it spread across the continent.


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