Uber finds new competitor in Montreal's Taxi Diamond Existing system was improved to directly rival Uber's

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Uber now has competition in Montreal in the form of Taxi Diamond, a new taxi-booking app that allows people to not only reserve a taxi cab, but also monitor their progress on the go and pay for the ride using a smartphone, La Presse reports. Users can even rank drivers.

Score one for the taxi industry in its fight against Uber.

Taxi Diamond had been offering a similar service since 2011, but you could only book a taxi cab and select a payment method; users still had to pay the driver at the end of the trip.

While CEO Dominique Roy claims the idea of a more comprehensive app started forming a long time ago, well before Uber hit the market, he admits the controversial app-based service from the U.S. accelerated its development.

Roy also says that waiting for a taxi is substantially shorter when people use their smartphone instead of booking by phone.

Will there be a snowball effect among taxi companies across Canada? Time will tell.