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Summary:

Preparing to compete with on-demand car service Uber, London-based Hailo is reportedly raising $30 million in a round of venture financing that could value the startup at $140 million.

hailo executive team

Just a few weeks ago, things were looking up for on-demand car service Uber. After hitting some regulatory roadblocks in a few major cities across the country, the San Francisco-based company got the okay to move forward in Washington, DC and New York (on a pilot basis). But now it looks like it will have to contend with another issue — albeit one it was expecting — competition.

Hailo, a London-based competitor, is on the verge of closing a $30 million round of funding aimed at helping the company gain traction in the US and, specifically, New York City, according to AllThingsD. And, to make matters worse for Uber, the round is reportedly being led by top New York-based VC Fred Wilson of Union Square Ventures. The round follows a $17 million Series A found of funding from Accel Partners, Atomico and Wellington Partners earlier this year.

Like Uber, Hailo lets people hail cabs on the go from their iPhone or Android devices. Earlier this month, New York’s City Taxi and Limousine Commission approved a pilot program permitting e-hailing services, opening the door for both car services to take on the Big Apple. As GigaOM has reported, it’s a space with no clear winner yet. Hailo and Uber aren’t the only  companies eyeing New York — Get Taxi and Taxi Magic have also thrown their hats into the ring. In addition to New York, Hailo has targeted Boston, Chicago and Toronto in North America.

In September, Uber tried to launch in New York but quit within six weeks after  encountering regulatory difficulties in the city.

  1. YellowCabNYC.com will own the NYC e-hail market

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  2. There are no good reasons to start new taxi wars where the taxi workers are caught in the middle.

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  3. The fact that Fred Wilson is backing Hailo has nothing to do with how it affect Über. Fred is a vc not an operator, it doesn’t matter who backs you, it matters who has a better business model and a better team.

    Tired of journalists who don’t understand this

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  4. If anyone’s interested in trying UBER out they currently have a promo code for a free $10 Credit. Just use UBERSNOW10 on signup. Good Luck!

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