In an announcement that brought cheer to New York City’s iconic Yellow Taxis, customers and more, Uber Technologies Inc. announced that it will feature these cabs in its popular app. This would help the taxi industry which has seen a slump as well as the ride hailing company, which is facing a shortage of drivers. An alliance will be formed with the taxi commission’s technology partners and Uber. The news also energized the market in New York as Uber shares rose by 5 percent after Thursday’s announcements.

The companies issued separate statements about the new alliance. The New York City Taxi and Limousine Commission operates with the help of technology partners–Creative Mobile Technology and Curb Mobility. Their apps Curb and Arro are used by most of the yellow taxis in the Big Apple. The apps will let customers book trips in taxis via the Uber app.

On Thursday, the announcements also noted that the new deal will start as a pilot phase in spring and become fully functional by summer.

Guy Peterson, Uber’s director of business development said that it was a win for both drivers and riders. Drivers need not have to worry about “finding a fare” at off peak times not did they have to wait for a street hail back to Manhattan when they dropped riders to the outer boroughs of NYC. He also noted that riders would also have great benefits as they could access thousands of the iconic taxis “in the Uber app.”

Riders would get taxis at the same price offered by an UberX for the same ride. The fare could be higher or lower that the metered fare, depending on surge. Taxi drivers will be allowed to see the fares before accepting a ride. Uber drivers do not have this facility, as of now.

Although this is a first of its kind alliance in the nation, Uber has formed alliances with different taxi companies in countries all over the world including in Europe with Spain, in Turkey, in Hong Kong and other countries. There are approximately 14,000 Yellow Taxis in New York City.