Uber, the ride-sharing app, will quit Denmark on April 18 due to its inability to convince the government to change the new law on taxis to allow its business operations.
The new regulations require drivers for hire to have meters and seat sensors which are way outside Uber’s business purview.
Uber, which has been doing business in Denmark in 2014 will be leaving behind 2,000 drivers and 300,000 users when they eventually quit.
However, Uber leaving the Scandinavian country will favour and benefit the country’s 6,000 taxi drivers who have encountered serious competition from Uber and drivers who are not affected by the legal requirements.
Uber said in a statement: “For us to operate in Denmark again the proposed regulations need to change. We will continue to work with the government in the hope that they will update their proposed regulations and enable Danes to enjoy the benefits of modern technologies like Uber.”
Uber added that its office in Denmark will continue to run in Denmark and they will also allocate resources to assist drivers who will lose full or part-time wages for a few weeks.
Uber has been facing a lot of challenges in different parts of the world due to its business model. It even had to sell its China operations to Didi Chuxing.
