Korea’s Daum Kakao announces launch of KakaoTaxi

Daum Kakao, the recently merged entity comprising of mobile chat suite Kakao and web portal Daum, announced today the launch of Kakao Taxi, a standalone taxi-hailing app that connects drivers with passengers.

According to Daum Kakao, the app will work much like Uber and other ride-hailing apps. After registering through their Kakao accounts, users input their drop-off location, and a ride request is sent out to the nearest taxis logged on to the app. Users can also send notifications to their friends reporting their whereabouts, and can rate drivers based on their performance.

Daum Kakao says that the company has signed memorandums of understanding with the Korean National Joint Conference of Taxi Association, the Seoul Taxi Association, the Federation of Korean Taxi Workers’ Union and the Korean Taxi Workers’ Union to help support the service, and adds that they are “working closely with major operators” to bring the app to life. We’ve asked Daum Kakao which specific taxi providers it is working with to get the app out to drivers

Update: Kakao says that drivers sign up individually and it hasn’t formed partnerships with specific operators. They add that KakaoTaxi does not impose fees on drivers or passengers at present, but the company might consider monetization options as its user base grows.

Messaging apps make a jumping off point for ride-hailing and other services because they give drivers a built-in network of potential passengers. In January, Japan’s Line partnered with Nihon Kotsu, the nation’s largest taxi provider, to release a taxi-hailing function for Tokyoites. Early in 2014, China’s WeChat partnered with Didi Dache to bring the same feature inside its messaging app.

Seoul has emerged as a city taking a tougher stance on peer-to-peer ridesharing. Earlier this month, Uber suspended its UberX service in the city after local authorities indicted CEO Travis Kalanick. Kakao’s taxi-centric service, however, is less likely to draw the ire of transport bureaus.

Editing by Steven Millward, top image by Tyler Durden