Tag: kakao carpooling

  • Kakao postpones carpooling service

    Kakao postpones carpooling service

    Kakao Mobility announced las week that it would postpone the official launch of its carpooling service after a week of fierce protests from the local taxi industry. The Kakao affiliate started offering a beta version of the service last Friday that was made available to a randomly selected pool of users nationwide. On the same day, it declared that the official launch date of its carpooling service would be on Dec. 17.

    “After much consideration, we decided to postpone the official launch in order to listen and apply a wider range of opinions from taxi drivers, users and many others,” Kakao said in an official statement Thursday afternoon.

    But it did not specify when the official launch will be delayed until. The statement sparked rumors that this may be the start of Kakao indefinitely postponing the service’s official release, which the company denied.

    “What we know for now is that it’s not going to happen this year,” said a Kakao spokesperson. “But this doesn’t mean the delay is going to be an indefinite one. The exact date is still a matter of discussion.”

    The beta service will continue to be offered to random users selected regardless of age and region. Kakao explained that the beta service was being offered to a very limited pool of users, just enough to examine the technology and check the effect it may have on taxi drivers.

    The announcement comes six days after the beta service and the official launch date were released.

    The backlash from taxi drivers has been fierce, with widespread protests that culminated in a 57-year-old taxi driver setting himself on fire in front of the National Assembly in western Seoul on Monday.

    Two days later, a committee that consists of two taxi company associations and two taxi driver labor unions announced plans to stage a protest in Seoul on Dec. 20, with more than 100,000 people expected to attend. This would be the third protest targeted at putting a stop to carpooling services.

    Regardless of Kakao’s decision to postpone the launch, a source from the committee said there is no change to the plans for the protest.

    Taxi drivers also launched a sleep-in protest in front of the National Assembly starting from Wednesday, with members of the four organizations continuing their vigil in shifts through the night.

    Kakao, the local taxi industry and government officials have been in talks for more than half a year, but are still failing to agree on a solution to the carpooling service issue.

    Kakao wants to introduce a carpooling service during busy commuting hours, but drivers say that even if rides are limited to twice a day, they will still eat up around 59 percent of all taxi demand.

  • Kakao’s carpooling app goes live in beta test

    Kakao’s carpooling app goes live in beta test

    Kakao’s carpooling service was introduced Friday for beta testing and will be officially rolled out Dec. 17. The start of the service comes after months of battling fierce opposition from local taxi services. They staged a strike on Oct. 18, two days after the IT company started accepting applications from carpool drivers.

    With the beta service, the Kakao T mobile app, a platform for all of Kakao’s mobility services from taxi hailing to navigation, was upgraded to enable the “Carpool” button on its main screen. The beta service will not be accessible to everybody.

    “The beta service is aimed at increasing the stability of the technology and collecting opinions,” Kakao said in a statement. “For that reason, it will only be offered to some users.”

    The selection of testers will be random and independent of age and location. Anyone upgrading the Kakao T app Friday will see the new “Carpool” button, but only the selected users will be able to input words in the destination box. Those who weren’t selected will see an image with the words “This service will launch soon.”

    The base fare is set at 3,000 won ($2.68) for the first 2 kilometers (1.24 miles), the same as for regular taxis. After that point, the fare will increase proportional to the driving time and distance. The company did not disclose details, but a spokesman said the cost will be equivalent to around 70 to 80 percent of regular taxi fares.

    Kakao’s carpool drivers are allowed to offer carpooling services twice a day at any time of the day. The twice-a-day rule is due to the domestic law that limits carpooling to commuting purposes. More than 50,000 drivers who met Kakao’s requirements have been selected so far.

    A government-led task force composed of lawmakers from the ruling Democratic Party, public officials and taxi companies met Friday to discuss carpooling. Executives from Kakao Mobility, the affiliate in charge of the IT company’s transportation services, decided to launch the same day,

    Kakao acquired the Luxi carpooling app in February and completed preparations for its service later in the year.

    The official launch was postponed previously as the task force failed to reach an agreement on the service’s details, including the fare and limits on use. During a task force meeting held Thursday, some government officials opposed Kakao’s request to release the service that same day, demanding more time to find common ground.

    Korea has been a difficult place for carpooling. Uber closed down its service in 2014, and Seoul’s local government questioned the legality of carpooling app Poolus in 2017.