The mobile payment gadget Square has been approved by The New York City Taxi and Limousine Commission for use in 30 of the city’s taxis.
As part of a testing phase anticipated to begin in the upcoming weeks, the city aims to provide a solution to cab drivers who are frustrated with having to pay high credit card fees when passengers choose to pay by credit or debit cards.
No word yet on whether the Square credit card transaction fees will be significantly lower than the system already installed in most NYC yellow cabs.
David S. Yassky, chairman of the Taxi and Limousine Commission, told the New York Times he hopes fees could eventually be subsidized if Square gains more popularity.
Several other cities have already embraced the Square payment system in taxis, including Baltimore, San Francisco and Portland. So far, drivers rave about the convenience of Square, minus the need to have Internet connection in all areas of the city.