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Lyft

After a two-week delay, Lyft finally launches in New York

By
Benjamin Snyder
Benjamin Snyder
Managing Editor
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By
Benjamin Snyder
Benjamin Snyder
Managing Editor
Down Arrow Button Icon
July 25, 2014, 12:49 PM ET
A Post-Taxi Population Opts For Ride-sharing
BOSTON - JULY 16: Hunter Perry, a regular Lyft user, gets picked up on July 16, 2013 near his office on Harrison Avenue. The vehicles participating in the Lyft program wear a pink mustache on their front grille. (Photo by Essdras M Suarez/The Boston Globe via Getty Images)Essdras M Suarez - Boston Globe via Getty Images
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Cars with giant, pink mustaches could soon be seen in the streets of New York City.

After a two-week delay due to regulatory issues, ride-sharing service Lyft will launch in the city on Friday.

The company said in a statement that it has made “positive progress with local and state leaders” and has “finalized an agreement to offer immediate access” to its service through a beta launch.

“We’ll continue to work with the TLC, Department of Financial Services, and the Attorney General’s office to craft new rules for peer-to-peer transportation in New York,” the company added.

As part of the agreement, Lyft is required to halt operations in New York State cities Buffalo and Rochester by Aug. 1 in order to work further with the attorney general’s office. “Now that we’ve outlined a path forward with state leaders, we will work together to make peer-to-peer policy progress as we have in numerous other cities and states,” the statement continued.

On July 11, the city’s attorney general and the Taxi and Limousine Commission filed a restraining order against Lyft, halting planned operations in Brooklyn and Queens, according to Fortune.

Now that Lyft is launching, it will face competition from Uber, a rival ride-share service that is even less expensive than New York’s yellow cabs through its UberX service line.

In April, the company almost doubled the number of markets it reaches through an aggressive expansion in which it opened in numerous cities to get to 60 markets in total. The company also received $250 million from Alibaba, Third Point and Andreesen Horowitz.

About the Author
By Benjamin SnyderManaging Editor
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Benjamin Snyder is Fortune's managing editor, leading operations for the newsroom.

Prior to rejoining Fortune, he was a managing editor at Business Insider and has worked as an editor for Bloomberg, LinkedIn and CNBC, covering leadership stories, sports business, careers and business news. He started his career as a breaking news reporter at Fortune in 2014.

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