Obama's Former Adviser Leads Uber's Drive Into Japan
November 02 2016 - 8:50AM
Dow Jones News
TOKYO—Uber Technologies Inc. sent board member David Plouffe,
President Barack Obama's former campaign manager, to Tokyo on
Wednesday, stepping up its push to bring its ride-hailing business
to Japan.
Japan's regulations prohibit drivers from ferrying passengers
for money without a taxi permit or similar authorization,
effectively barring the Silicon Valley company from operating its
main business in the country.
"For most parts of the world, the core question of ride-sharing
has been disposed of. In some parts of Europe, and here in Tokyo,
we're still working on it," Mr. Plouffe said in an interview. "Our
goal is to talk to as many people as we can and try to get some
urgency around this."
Over a lunch at the Tokyo American Club, Mr. Plouffe told
members of the business community, "There's no doubt there is great
consumer interest in what we do, and we'd love your help on
that."
Opposition to Uber is spearheaded by Japanese taxi unions, who
fear competition from the company, and Japanese officials who
question the safety of ride-hailing services. Transport Minister
Keiichi Ishii said in a recent interview that he believed taxi
companies provided essential supervision of drivers and that it
would be hard for ride-sharing services to match the safety of a
taxi.
Mr. Plouffe said Tokyo might change its mind as it prepares for
the 2020 Summer Olympics in Tokyo.
"We think the government sees the need and the demand," he said.
Unless Uber is operating well ahead of the Games, it wouldn't be
available to Olympics spectators, he said.
Uber is facing competition from other business models.
On Tuesday, Toyota Motor Corp., an Uber investor, said it would
consider helping car owners rent their vehicles out for short
periods in Japan, a business model that doesn't face the same legal
restrictions as Uber's. Toyota has invested in U.S. car-sharing
startup Getaround Inc., and the two announced a partnership
Monday.
Mr. Plouffe, who helped Mr. Obama become the first
African-American president, said Uber wants to build grassroots
support from "people who want to ride or drive, who talk to
government and make their views known through social media."
Meanwhile, the ride-sharing startup, valued at $68 billion by
investors, is looking for other ways to make more money in Japan's
densely populated cities. In September, it introduced UberEats, a
food-delivery service, in some Tokyo neighborhoods. It also offers
its limousine service, UberBlack, and a taxi-booking service.
Write to Sean McLain at sean.mclain@wsj.com
(END) Dow Jones Newswires
November 02, 2016 08:35 ET (12:35 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
Toyota Motor (NYSE:TM)
Historical Stock Chart
From Jun 2024 to Jul 2024
Toyota Motor (NYSE:TM)
Historical Stock Chart
From Jul 2023 to Jul 2024