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ceras | 3 years ago

The taxi industry had it figured out only on a smaller scale. Rideshare reaches more people and rides than taxis did. In most of America, taxis were never a serious option outside of niche use cases like getting a ride from an airport. Even in NYC, where street hailing is possible, that only ever really worked in Manhattan (and not even all of Manhattan); and medallion caps meant driver supply could never fully meet rider demand, unlike for rideshare, so getting drivers wasn't a realistic problem.

Rideshare expanded the reach of taxi-like services to more regions, people, and use cases. It's now viable to travel without renting a car in many US cities - you can see this by how rideshare affected rental car companies. That's what makes the rideshare business hard: the places where they didn't have existing competition, because that's where the matching is harder and the economics not as easy.

It's a similar story for food delivery: GrubHub/Seamless operated in core areas of cities like NYC for many years (since the 90s in NYC, I think). Uber Eats brings that service to far more places, and that's where the challenge comes from in that business.

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DeathArrow|3 years ago

>Rideshare expanded the reach of taxi-like services to more regions, people, and use cases.

You don't need rideshare for delivering service to large areas.

In my country we have a taxi app which can be used by any taxi driver. If you request a drive, your call can be seen by all drivers which are at a certain distance from you. That distance can be se by each driver.

One or more drivers will reply to your request and you get to pick the driver.

And you can either pay directly to the driver using cash or card or you can be charged through the app.

The fee for the drivers is very small so almost all drivers use it.

And the money are not subject to tax evasion, they stay in the local economy. Taxi drivers have wages, social insurance, health insurance and pension funds. They also have a valid license to transport people and are regularly checked to be able to hold that license.

No Uber needed.

monocasa|3 years ago

I mean, I used plenty of taxis in towns down to 90k population before Uber was a thing. Uber doesn't seem to drop much below that either.