SEOUL, May 6 (Korea Bizwire) — South Korea’s telecom watchdog said Wednesday it will take a closer look into KakaoTaxi, a cab-hailing mobile application rolled out by the country’s top messenger operator Daum Kakao, on whether it has failed to abide by its terms of use related to location privacy.
The Korea Communications Commission (KCC) said Daum Kakao has not stipulated if a user’s data can be used to provide location-based services like KakaoTaxi in its terms of use, adding it will review if the messenger operator should register a new policy.
“As KakaoTaxi is a special service that uses location data, we believe it is appropriate for the company to open the related information in detail,” an official from the KCC said. The official said the watchdog will also review whether to impose negligence charges on Daum Kakao.
Daum Kakao said it will register a new terms of use if the KCC concludes the current situation to be problematic, adding it is not a serious violation.
KakaoTaxi, kicked off in March, connects a KakaoTalk user to the closest taxi in the area via a mobile call. KakaoTalk is South Korea’s most popular mobile messenger that commands about 35 million local users in a country with a population of 50 million.
A user simply needs to type in his or her destination on the app, which will be sent to an available cab driver. The app does not require the rider to tell the driver the current location, since it automatically shows it on the driver’s app through Global Positioning System.
It is compared to Uber, a similar tool introduced to the local market by U.S. venture Uber Technologies, which has been under intense scrutiny from local taxi drivers who have called for a ban on the service, saying it undermines their business.
Nearly 30 officials from Uber were booked last month on suspicion of operating illegal taxi services without a license.
(Yonhap)