The city that hosts next year's Olympic Games has become the first in Brazil to ban the use of smartphone-based ride-hailing-applications like Uber.

Rio de Janeiro Mayor Eduardo Paes on Tuesday signed legislation recently passed by Rio's city council banning Uber and similar technologies.

He says he's still "open to discuss the matter," but now Uber is forbidden.

Uber drivers who ignore the ban can be slapped with fines of nearly $500.

In Brazil's biggest city, Sao Paulo's city council also passed legislation this month banning Uber.

Mayor Fernando Haddad has yet to sign or veto the bill. He has said he will seek to regulate the service.