Complying with taxi driver protests, an Egyptian court ruled on Tues to stop the operation of Uber and Careem ride-sharing apps.
The court accepted a petition by a lawyer demanding the government stop licensing Uber and Careem activities in Egypt, including their online applications, state-owned newspaper Al-Ahram reported on its website.
The administrative court in Cairo ruled that it is illegal to use private vehicles as taxis. Both companies provide smartphone applications that connect passengers with drivers who work as independent contractors.
The two services had sparked protests by taxi drivers who complained that their drivers were not required to pay the hefty fees to operate transportation vehicles.
The lawyer representing taxi drivers, Khaled al-Gamal, told AFP that the ruling would have to be implemented by the government even if Careem and Uber appeal.
"They have to stop operations and block their mobile applications on the internet," he told AFP.
But both companies said their operations have not been officially suspended.
Careem "affirms the continuation of operations normally and it (Careem) has not been officially notified of ceasing its operations", it said on Twitter.
Uber Egypt’s general manager Abdellatif Waked said: "We respect the rulings of the Egyptian judiciary." But the company would appeal "and continue to be available in Egypt".
"It is important to clarify that today’s verdict does not mean suspending the operations of Uber in Egypt," Waked said, adding the firm could not comment on "ongoing legal proceedings".
Many Egyptians who complain about taxi services, including drivers who refuse to turn on their meters or their air conditioning during the summer heat, had switched to the ride sharing apps.
Uber was founded in 2010 in San Francisco and operates in more than 600 cities across the world. Careem was founded in 2012 in Dubai and operates in 90 cities in the Middle East and North Africa, Turkey and Pakistan.
