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[Image source=Yonhap News]

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Kakao Mobility is completely overhauling the controversial dispatch policy of 'Kakao T Taxi.' Reflecting the opinions of the taxi industry, it will revamp the AI-based dispatch policy considering acceptance rates and simultaneously implement a shortest-distance priority dispatch system.


On the 30th, Kakao Mobility held a closed-door meeting with four taxi organizations (National Taxi Labor Union Federation, National Democratic Taxi Labor Union Federation, National Private Taxi Transport Business Association Federation, National Taxi Transport Business Association Federation). On the same day, it also held a closed-door meeting with the Kakao T Blue Franchise Council, a franchise taxi organization. Previously, Kakao Mobility held its first meeting with the four taxi organizations and the Kakao T Blue Franchise Council on the 13th.


Through this meeting, Kakao Mobility and the taxi organizations gathered opinions on the dispatch system reform. The four taxi organizations have been demanding a revamp of the AI-based dispatch policy based on acceptance rates. Accordingly, Kakao Mobility decided to reform the dispatch policy by enhancing the acceptance rate calculation method and providing additional functions that can identify and manage factors that may affect the recommendation system.


Additionally, a policy to run a shortest-distance priority dispatch system in parallel will be promoted. Until now, the AI-based dispatch policy prioritized taxis with higher acceptance rates in the algorithm, which sometimes resulted in passengers being dispatched to taxis farther away with higher acceptance rates rather than nearby taxis. Furthermore, Kakao Mobility plans to continuously discuss with the industry and stakeholders solutions to problems such as ride refusals and taxi shortages from the perspective of passenger convenience.


New franchise services will also be promoted. A simple new franchise service reflecting industry demands will be introduced. Existing franchise members will be supported in transitioning to the new service. By commercializing exterior advertising, an additional revenue structure for franchise taxi operators will be established, and it was agreed to reduce the commission rate from the existing 5% to below 3%.


Measures to differentiate franchise operation structures by region will also be explored. Since taxis have different local issues and are independently operated by region, autonomous win-win councils will be formed and operated by region to create structures tailored to each area's characteristics.



Moreover, Kakao Mobility decided to establish a consultative body to regularly discuss current issues and development with taxi organizations and the industry.


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

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