
Erica Pearson tries out the new iPhone application ZabKab in downtown Manhattan.
A new app hailed as a tech-savvy way to find a taxi could be a major boon for illegal gypsy cabs.
The ZabKab app, released Wednesday, allows anyone with an iPhone to register for free as a driver — even if they aren’t licensed by the Taxi and Limousine Commission, the Daily News has learned.
A News’ reporter and photographer hopped in a car Thursday and used the app to hunt for would-be fares, finding many potential cyber customers, but no live riders during a four-hour prowl.
Livery- and gypsy-cab drivers — who aren’t legally allowed to pick up street hails — could easily apply the same business savvy.
“It’s a dangerous situation,” said Ira Goldstein, spokesman for a trade association of drivers and buses that cater to corporate clients. Goldstein downloaded the driver app and said he was getting constant pings through the day.
“I’m sitting in my office on Wall Street and I’m getting hailed,” he said.
TLC Chairman David Yassky agreed the app is problematic.
“I have definite concerns about the potential for people to be misled by the app, and for it to encourage illegal hustlers,” Yassky told the News.
The TLC will be meeting with creator Flatiron Apps to discuss a number of these concerns, officials said.
The new technology is likely to add fuel to a pending lawsuit filed by yellow taxicab owners, who say they pay for the exclusive right to pick up street hails. They’re fighting to block Mayor Bloomberg’s plan to allow livery cabs in upper Manhattan and the outer boroughs to pick up passengers on the spot.
Illegal street hails are big business.
TLC enforcement officers targeting illegal hails seized more than 3,000 unlicensed livery cars this year alone, records show. To combat the practice, the agency is in the process of boosting its enforcement team to 250 inspectors, up from 150, as part of the mayor’s five-borough taxi plan.
When being hailed using ZabKab’s GPS-based system, drivers see a blinking icon depicting a figure with a raised arm. The challenge, the News team found, is reaching impatient customers before they hop in a cab hailed via more conventional methods. The app freezes for safety reasons when the car exceeds 15 mph, adding to the difficulty.
The News’ would-be hacks responded at 5:30 p.m. to an electronic ping from a Battery Park City doorman, who said he’d successfully used the app twice on Thursday.
“A cab came really fast each time,” said doorman Michael Mitchell, 35.
Too fast, apparently. Our hoped-for fare was long gone.
It’s unlikely we’d have gotten the job anyway.
“I would only put someone in a yellow cab or a livery car that we call,” Mitchell assured.
Martin Heikel, co-founder of Flatiron Apps, said scurrilous drivers are operating “at their own risk.”
“Non-yellow cabs, if they use the app, then they’re really just breaking the rules and regulations that are punishable by TLC enforcement,” Heikel said.
“So it’s at their own risk if they were to take on a tool to take on more hailers. I don’t think most of them will.”
Still, he added: “If it becomes an issue, and it’s important enough for TLC, then we will certainly be willing to talk to them and work with them on a solution. We already have some thoughts in mind should that become a problem.”
— With Erica Pearson and Mariela Lombard

I was told I missed the point on my comment on the deceit of small city dispatch. What it was the company bragged about dispatch voucher work. Dispatch voucher work meant the driver was handed a voucher at the end of the trip, and lost something like 7% for processing, then charged the customer another 10%. Drivers were then told if you did just one average voucher fare a day, whatever the average, they calculated that it would add up to something like $15,000 a year extra doing one voucher fare a day. Here was the dispatch deceit: Unwanted customers who could not get a cab, even if they called for one, the cab would not go because the customer was so foul and bad attitude. Also, there were some customers whose regular trips were traumatizing losers, like during high commute time they went on an $8 fare, easily one way, while the driver spent 1 hour trying to get back to the city because of the one ways and different routes back. Even if a cabbie was dispatched to those jobs they would concoct some reason not to go, couldn’t find customer, got address wrong, whatever, they would not take it. So when these undesirables called the company and said why they could not get a cab everyday, the company said well if you use the voucher system with us (paying 10% more) the cab can’t refuse. So, getting back to the original point, the voucher jobs were so bad that if the average one was $15.00, the driver lost $30.00 doing it. So adding up the vouchers to say how good they were was a big joke. Of course, said my source there were special $100 voucher jobs but these were given only to special drivers – you get the idea!
Also I thought I put it but maybe not, media interviews of taxi experts, taxi ‘ consults ‘ said the taxi of the future (as soon as they all get sky dispatch and GPS) will not respect territories. First off, the Sky Boys say in Boston only Boston cabs to be sent to Boston jobs, only Cambridge cabs sent to Cambridge jobs, but taxi of the near future Sky Dispatched will be told to recognize by the Sky Boy that for each cab to return empty to its own territory is inefficient, they should be able to pick up near where they drop off. Of course, at that point, it will no longer be city and town regulators, but will be regulator in the Sky, the money runners, and you will not even have your territory which you paid thousands for. You will go where told, and sky boy will know where all the lucrative addresses and lucrative clusters are, and suddenly his brother’s limosine service will be doing those. Don’t you get it? Loss of territory rights, loss of customer base, do as told.
And the guy above who said, there is already the customer base, and it will not increase for the most part, just someone else will be mining for dollars on the fares, and deciding what you will have.
Watch out!
The passenger pre paying does not mean you dont have to worry about TLC inspectors. They can pre pay a $100 fare and fine the driver $500 and take his car for a nice city profit. They do have a large budget in case you didnt know.
Why just taxis ‘push another button and boing 737 will be waiting outside ready to take you to Miami.
Maybe I’ve been overly optimistic. Surely many details have to be worked out. For example, app should’t be working around major taxistands at Penn Station or PA. Or in the airports? NY Post quoted the commissioner saying the hailing cab using smartphone is innovative, but I’m not sure of current legality for yellow cabs. But if it is legal only for FHV, what it means in Manhattan? Sunman, it’s ok u like to do business ur way, but instead FHV, more yellow cabs r for app pick ups, isn’t it good for ur street pick ups with less competition? I heard that until 80s, yellow used to be dispatched by radio calls? BTW, if u want to flush SuperMario, there is an app for that.
Noah,couple years ago PBS aired program “Blood for diamonds” .It told viewers about predatory practices of companies like De Bears to get rough diamonds from poor African nations . The U. N. mandated all bussinesses ,who wanted to participate in diamond exploration, to provide jobs ,security and social services to local folks. People like Mr. Leviev have become very succesful in this endevor . If “hailo” wants a share of taxi bussiness it should start with providing free housing ,higher education,better working conditions. Profits are unlimited ,just don’t be another scum back trying to rob hard working people.
Big players let their profits slip away to some unknown people? metropolitan board of trades, Greenbaum family, TLC , Meddallion financial to name a few. Give me a brake.