[Exclusive] Four Taxi Groups Target Kakao... File Complaint to Fair Trade Commission Alleging "Call Steering Suspicion"

[Asia Economy Reporter Bu Aeri] It has been confirmed that taxi organizations have submitted a petition to the Fair Trade Commission requesting action regarding the 'allegations of Kakao's call (dispatch) favoritism.' After the 'Tada incident,' the taxi industry had been quiet, but now tensions are rising as they turn their attention to Kakao.

Taxi Organizations Demand Fair Trade Commission to Correct 'Call Favoritism'

According to the taxi industry on the 10th, four taxi organizations (the National Taxi Labor Union Federation, the National Democratic Taxi Labor Union Federation, the National Private Taxi Transport Business Association Federation, and the National Taxi Transport Business Association Federation) sent a registered petition to the Fair Trade Commission the day before, stating that "Kakao Mobility is abusing its monopoly position and hindering fair trade."

The taxi organizations are raising concerns about Kakao Mobility's 'call discrimination allegations.' For example, when a passenger calls a taxi using the taxi-hailing application (app) 'KakaoT,' calls do not go to nearby taxis but instead go to 'KakaoT Blue' vehicles located farther away. KakaoT Blue is a taxi brand operated by Kakao.

The taxi organizations point out that the KakaoT app, which many citizens already use, is being monopolized solely to increase Kakao's profits, causing losses to other taxi drivers, which they see as problematic.

In their petition, they requested the Fair Trade Commission to "determine whether the 'call favoritism' allegations constitute an 'act likely to impede fair trade' under Article 23 of the Fair Trade Act."

Lee Heon-yeong, Labor-Management Countermeasures Director of the National Taxi Labor Union Federation, stated, "We are preparing to file a complaint regarding potential violations under current law. However, we will decide whether to proceed after hearing the Fair Trade Commission's response."

Kakao Mobility: "Artificial Dispatching Impossible"

Photo by Kakao Mobility illustrating an example of the dispatch system. Although Taxi B is closer in distance, Taxi C is dispatched.

In response, Kakao Mobility stated, "KakaoT assigns calls through an artificial intelligence (AI)-based dispatch system," and denied the favoritism allegations, saying, "It is impossible to artificially assign calls to specific services or vehicles."

A Kakao Mobility representative explained, "We analyze big data on various variables and scenarios, including the taxi's estimated arrival time, driver dispatch acceptance rate, driving patterns, driver evaluations, and real-time traffic conditions," emphasizing, "There is no artificial dispatching that favors KakaoT Blue."

This content was produced with the assistance of AI translation services.