New York backs down in Uber fight

City officials said the deal was reminiscent of what the de Blasio administration offered Uber early in the negotiating process.

The surprising agreement was announced just hours before the city council would have voted to limit the number of new for hire cars in the city, a move which would have affected Uber the most since they’re big in that market.

To reach a deal, Uber agreed to work with the mayor’s administration on a joint transportation study investigating the traffic and environmental effects for-hire companies have on the city.

A source familiar with the negotiations said Uber execs came back to the table Wednesday and accepted a deal that last week they had rejected.

Uber has also agreed to handover some data the city has sought.

Uber steadfastly rejects any cap.

Shortly before de Blasio did so, Cuomo denounced the mayor’s plan, and also called Council speaker Melissa Mark-Viverito to talk about it as the Council was poised to vote on the relevant legislation.

“This is good news for consumers and drivers, and we thank the City Council for listening to our concerns about removing carpooling options, which we see as part of the solution to traffic congestion”.

In a statement, Uber NYC general manager Josh Mohrer said that “we are pleased new drivers will continue to be free to join the for-hire industry and partner with Uber”. “Taxi drivers have been serving 1 million people before Uber stepped into this town”, said Bhairavi Desai, of the New York Taxi Workers Alliance. New York Gov. Andrew Cuomo, a fellow Democrat, was against it. Several celebrities pressured de Blasio, who has earned distrust from the New York entrepreneurial community for what some perceive as an anti-business stance and pro-regulation stance by his administration.

Uber’s expansion in New York, as in many other cities, has been a contentious one.

The ride-hailing service, which provides cars summoned by smartphone app, spent Wednesday claiming that the mayor’s central argument against them – increased traffic – was flawed.

Yellow taxis make 90% of their trips in Manhattan, according to city officials.

Ashton Kutcher ripped the New York City mayor apart in a Facebook post, accusing Bill de Blasio of “corrupt shortsighted politics” that he thinks are “destroying innovation”.

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Deputy Mayor Anthony Shorris also had words of optimism for the deal between the mayor and Uber, saying it was a suitable and fair framework to ensure the growth of the city Uber and New York City is occurring in a safe and responsible manner.