Yellow Cab Houston announced it has made the decision to file for bankruptcy and has since been discussing a sale agreement with zTrip, a newer transportation company.
"The past four years have jolted the local taxicab industry. Unregulated competition, excessive litigation and the pandemic have combined to create an unsustainable environment for the typical cab company," Yellow Cab Houston said in a statement.
The bankruptcy filing includes Texas Taxi, and Yellow Cab and Fiesta Cab operations in Austin and in San Antonio.
ZTrip is essentially the taxi industry's answer to Uber and Lyft. The company's app is sponsored by Transdev, which operates taxi and black car services.
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After 54 years, the city of Houston will say goodbye to the original yellow cab and ensure their trust in newer vehicles that zTrip says offers "the best dispatching, IVR, safety camera and databases systems available."
"We tout zTrip as the perfect hybrid between traditional taxicab and TNC services," the company says on its website.
As of now, more than 5,000 vehicles, 400 employees and 2,900 contracted drivers make up zTrip. To download the app, visit the zTrip website.
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