Uber smartphone apps banned in Italy

Rome - An Italian court banned the use of smartphone apps for the ride-hailing group Uber, saying they contribute to traditional taxis facing unfair competition, local media reported.

In a ruling on Friday that is subject to appeal, a court in Rome upheld a complaint filed by taxi unions and gave Uber ten days to end the use of various phone applications on Italian territory, along with the promotion and advertising of them.

If Uber does not comply it could face a fine of  $10 600 for each day it remains in defiance of the court.

Uber said it was shocked by the ruling and that it would appeal immediately, seeking suspension of the ruling.

The court's ruling follows a decision by a court in Milan two years ago to ban the company's UberPop application, which was deemed under Italian law to encourage the provision of taxi services by unlicensed drivers. That ruling was upheld in a subsequent court case in Turin.