By Susie Steimle :cbslocal – excerpt (including video)
SAN FRANCISCO (KPIX 5) — Ride-hailing companies could be forced to pay up if one San Francisco supervisor who says he’s tired of Uber and Lyft not contributing their fair share gets his way.
San Francisco Supervisor Aaron Peskin says the time for complacency toward these companies is over. Peskin is calling state lawmakers complicit and says lobbyists have influenced California for far too long…
On Tuesday Peskin called on state lawmakers to turn the reigns over to cities when it comes to regulating rideshare. Next week he plans to introduce a city ballot measure for November that would allow San Francisco to tax Uber and Lyft… (more)
We suggest looking at the individuals at the CPUC who are caving to the TNCS. Who appointed them and where do they get their authority? Also consider why people are taking these rides to begin with. What did the SFMTA think people would do when they made car ownership and parking so difficult and cut Muni services and stops and killed the taxi industry? Fix those problems and the Uber Lyfts will be less popular.
Oh, and the new CEO of Uber stated it is his company’s intention of taking over municipal transportation. So they are directly competing with Muni How many residents are competing with Muni?
In the fight for more customers, drivers, and market share, ride-hailing companies have in recent years embraced a simple but powerful strategy: cheap rides.
Uber, Lyft and other firms have used their ample venture capital backing to subsidize drivers and lower fares, igniting a price war that has benefited passengers at a great cost to the companies themselves.
It’s a policy so common that customers have come to see heavy ride discounts as the norm, but it’s also now facing new questions after Uber opted this week to cede the Chinese ride-hailing market to fierce competitor Didi Chuxing…
The race to the bottom is costly, Skilton said, and Uber’s battle in China shows that sometimes it’s simply not worth paying. Ultimately, he said, it makes more sense for ride-hailing services to try to win market share not by seeing how low they can go but how valuable they can be to the customer.
But it was perhaps Uber itself that put it best. Its head of operations in Asia, Allen Penn, told the Financial Times in June: “You can go out, spend a bunch of money in a city and gain some market share, but that’s not real,” he said. “You’re just kind of buying all of it — [though] you’re really more renting than buying.”…(more)