The Danish government in February, passed a reform changing regulations for taxis, following pressure from local taxi driver unions.
The new law requires mandatory fare meters in cabs and seat occupancy detectors to activate the airbags.
Uber, which says it has 2,000 drivers and 300,000 people using its app in Denmark, said it would not be able to operate unless the regulations were changed. It will officially end its activities in the country on 18 April.
According to AFP, Uber launched an online petition, signed by nearly 40,000 people against the proposal.
“Unfortunately, due to the upcoming changes in regulations, we have been left with no choice but to close the service. Our top priority is supporting the drivers who use Uber during this difficult time. We will continue to work with the government in the hope that they will update their proposed regulations and again enable Danes to enjoy the benefits of modern technologies like Uber,” Uber told the Independent.
However, the company will not be leaving Denmark altogether.
“We have a team of 40 talented engineers based in Aarhus who help develop Uber technology for users around the world. As our team in Aarhus grows, we hope that Denmark will live up to its reputation as a technology friendly nation and allow Danish people to benefit from this local engineering work,” a spokesman for the company said.
Earlier this month, Uber lost a High Court case against Transport for London (TfL) to block a new rule on language test for private hire drivers in the capital.
In the US, chief executive officer Travis Kalanick is also under scrutinity because of a series of scandals and accusation of operating a sexist workplace.
Read more at independent.co.uk