An anonymous reader writes "Uber, the startup behind a mobile app for connecting transportation services with people who need rides, has halted its efforts to partner with New York cab drivers. They've been fighting an uphill battle against regulators, who have warned drivers that they could face fines or loss of license if they worked with Uber. The company's CEO wrote, 'Demand far out-stripped supply, making you feel pretty lucky when you got a yellow from your iPhone. We did the best we could to get more yellows on the road but New York's TLC (Taxi and Limousine Commission) put up obstacles and roadblocks in order to squash the effort around e-hail, which they privately have said is legal under the rules. We'll bite our tongues and keep our frustration here to ourselves.'" Update: 10/17 00:48 GMT by S : Here's TLC's perspective, in the words of Commissioner David Yassky: "In recent months, as e-hail apps have emerged, TLC has undertaken serious diligence and is moving toward rule changes that will open the market to app developers and other innovators. Those changes cannot legally take place until our existing exclusive contracts expire in February. We are committed to making it as easy as possible to get a safe, legal ride in a New York City taxi, and are excited to see how emerging technology can improve that process. Our taxis have always been on the cutting edge of technological innovation, from GPS systems to credit card readers."