Uber pulls out of three German cities over regulation woes

Uber has decided to pull its service out of three German cities, citing trouble with local regulations and a lack of suitably licensed drivers to meet demand. The ridesharing service has suspended operations in Dusseldorf, Frankfurt, and Hamburg, instead limiting operations to the large cities of Munich and Berlin. This follows a ban earlier this year preventing Uber for having unlicensed drivers on the road.

According to Reuters, Uber's Germany branch has limited operation to drivers who hold the proper passenger transport license. There reportedly isn't enough of those drivers to meet demand, however, and using unlicensed drivers could result in a harsh fine.

According to the ridesharing service, "For many prospective Uber partners the process of registering an independent rental car enterprise has proved as too costly and time consuming." Instead, it is going to "intensify the dialogue" it has with lawmakers, likely seeking more friendly regulations.

In the meantime, Uber plans to ratchet up its efforts in both Berlin and Munich. Uber has had consistent troubles in some places, with the taxi industry and regulators pushing against the unlicensed operation of cars by drivers who aren't properly insured and licensed according to transportation laws.

SOURCE: Reuters