Uber Defies Berlin Ban in Quest for World Domination

Berlin has begun cracking down on the app-based shared economy car service Uber. It is just the latest city to make moves against the company.

Earlier in the week, Berlin's senate officially banned Uber, citing concerns over uninsured passengers. Yet opposition has not stopped Uber in the past, and Germany will not be the exception.

Uber actually faces a $33 thousand fine every single time an UberBlack or UberPop driver hits the capital city's streets. Even still, Uber plans to continue.

"We intend to formally challenge this decision and fully expect that Berlin will follow the Hamburg authorities' lead and overturn the prohibition order," Fabien Nestmann, Uber Germany general manager, said in a statement.

Hamburg also banned Uber last month, but the ban has been momentarily suspended pending an appeal.

When it comes to the insurance issues cited in Berlin, Uber extended its United States insurance policy in March to include any driver whose personal insurance does not include accidents during the gap between providing a ride and accepting a new one. Nesmann made it clear that its European motorists are similarly covered.

In Germany, Uber also operates in Frankfurt, Munich, and Dusseldorf, with plans to start servicing Cologne and Stuttgart.

According to PC Magazine, "It's not just regulators who are annoyed by Uber; taxi drivers in London, Paris, Madrid and Berlin joined forces for a coordinated taxi protest in June. More than 30,000 cab and limo drivers participated, causing traffic jams in major European tourist centers and shopping districts."

The cities that do not currently allow Uber to operate, however, can now take advantage of an updated app. Uber launched two new mobile features on Wednesday, including in-app turn-by-turn navigation for the driver and destination entry for riders, which eliminates the need to even speak to one's chauffeur.

At the same time, Uber is speeding things up in Hong Kong with the launch of UberTaxi in the city, which allows for easier hailing of local taxis.

Uber is not alone in the shared economy of car services, however, as Lyft and Ride Genie are now challenging them.