Tens of thousands of South Korean taxi drivers left their cars on Thursday to go out in the streets of Seoul and nearby areas to vent their anger over the plans to establish a new mobile rideshare service by the country's top chat app which, according to them, could threaten their only means of living.
According to Reuters, the protest held by the different associations of taxi drivers in the country is the latest challenge for new transport services such as ride-sharing to gain a foothold in Asia's fourth-biggest economy.
Foreign ride-hailing apps like Uber made its attempt in the South Korean market but it has quickly drawn flak from members of conventional transport sectors, like the taxi drivers, as well as the stiff regulations set by the SoKor government.
As pointed out by the news agency, the demonstration spearheaded by protesters wearing red headbands, sought to abolish the carpooling industry which could threaten the South Korean taxi industry.
Police estimates indicate that there were about 25,000 taxi driver individuals who took the part of the protest.
Even domestic startups like Kakao T Carpool, a branch of chat app operator Kakao Corp, couldn't possibly get around the public's vehement refusal to their new transport service offering.
According to KBS, the company, which has a mobile application that connects passengers to drivers of privately-owned vehicles, has already started recruiting drivers for Kakao Mobility.
This follows after Kakao acquired Hyundai Motor's carpool unit, Luxi.
With the backing of investors in February, the tech firm launched what would be considered as one of South Korea's first ride-hail apps.
Amidst the negative reaction from the nation's taxi industry, Kakao explained that it would only run the service during peak commuting hours. The goal would be to compensate for the shortage of taxis which occur during these times.
The provisions stated in the South Korean transport law prohibit the use of personal vehicles for commercial purposes. However, the terms exempt carpooling only when during commuting hours.
The Kakao Mobility ride-hail service won't be hitting the road until the end of 2018. But the company said on Thursday that it will continue to negotiate with the SoKor taxi industry, its governing bodies, stakeholders, and even the users, before the nationwide launching of the app.
In an interview with KBS, Goo Soo-young, the head of the Korea Taxi Worker's Union, reiterated the dilemma which the public utility drivers will face if Kakao pushes through with its plan. The union chief called the company's move as an act of cruelty against the already struggling drivers.
