CMA clears Uber and Autocab deal

first_imgCMA clears Uber and Autocab deal The CMA (Competition and Markets Authority) opened its Phase 1 merger investigation into ride-hailing company Uber’s acquisition of GPC Software Limited (Autocab) in January 2021. Autocab supplies booking and dispatch technology software (BDT) to taxi companies. It also operates a referral network for taxi and private hire operators called iGo, where those companies can send and receive jobs to each other.The investigation considered the deal’s possible effect on competition in the supply of BDT, as well as referral networks, and any potential impact of the merger on taxi companies who are Autocab’s current BDT customers. After thorough scrutiny, the CMA has found that there is only limited indirect competition between Uber and Autocab, and the CMA did not find evidence to indicate that Autocab was likely to become a significant and more direct competitor to Uber in the future.The CMA also considered whether Autocab and Uber could try to put Autocab’s taxi company customers that compete against Uber at a disadvantage by reducing the quality of the BDT software sold to them, or by forcing them to pass on data to Uber. However, the CMA found that there are other credible suppliers of BDT and referral networks that these taxi companies could switch to if Uber were to reduce the quality of the Autocab service or force them to share their data.Joel Bamford, Senior Director of Mergers said:Millions of people across the UK rely on taxis every day and technology has transformed the way this industry works. It is therefore important that mergers like these are properly scrutinised to ensure that customers aren’t negatively affected.After a thorough investigation, the CMA has found no competition concerns as a result of this deal. This is because the companies are not close competitors, the two businesses will continue to face competition from rivals and Autocab’s customer taxi companies can switch to credible alternative providers if they wish. /Public Release. This material comes from the originating organization and may be of a point-in-time nature, edited for clarity, style and length. View in full here. Why?Well, unlike many news organisations, we have no sponsors, no corporate or ideological interests. We don’t put up a paywall – we believe in free access to information of public interest. Media ownership in Australia is one of the most concentrated in the world (Learn more). Since the trend of consolidation is and has historically been upward, fewer and fewer individuals or organizations control increasing shares of the mass media in our country. According to independent assessment, about 98% of the media sector is held by three conglomerates. This tendency is not only totally unacceptable, but also to a degree frightening). Learn more hereWe endeavour to provide the community with real-time access to true unfiltered news firsthand from primary sources. It is a bumpy road with all sorties of difficulties. We can only achieve this goal together. Our website is open to any citizen journalists and organizations who want to contribute, publish high-quality insights or send media releases to improve public access to impartial information. You and we have the right to know, learn, read, hear what and how we deem appropriate.Your support is greatly appreciated. All donations are kept completely private and confidential.Thank you in advance!Tags:acquisition, director, Effect, Force, future, Government, hire, Impact, industry, investigation, jobs, quality, software, technology, Uber, UK, UK Governmentlast_img read more