4 ms·

What makes you think that cab companies aren't ripping you off already? In my area, you pay over twice the amount for a cab compared to uber.

by bmon 10y ago

angry-hacker 10y ago
And what do you think happens when they have the monopoly and/or VC's start wanting their money back?
- zigzigzag 10y ago
  Er, either prices float to their natural level and there's no problem (i.e. Uber's profits are reasonable), or a competitor comes along. Come on, keep some perspective. Uber is a taxi app. We're not talking about a Manhatten Project of software here. Duplicating the Uber experience is easy. 99% of the effort they're putting in there is the fights with all the governments, regulators, taxi unions etc.
  - angry-hacker 10y ago
    And how those new apps get traction? They either need VC money or they die. Facebook and Twitter are not Manhattan projects either, but there's no real competition. Right now Uber is using the VC money to break or ignore laws and create itself a monopoly. If we really wanted to disrupt the Taxi business, you need to destroy all the regulation for everyone. Collecting tax pennies and giving them away does not help, of course. It does not matter what the right answer is; the playground needs to be equal.
    - zigzigzag 10y ago
      Facebook and Twitter are in competition. And I think you underestimate the complexity of a project like Facebook. It started small, but back then people's expectations were much lower. If Facebook started charging for its services or otherwise pissing off its users in big and obvious ways, I guarantee there'd be a serious competitor on the streets within months.
    - brownbat 10y ago
      > And how those new apps get traction? In a world where Uber is charging monopoly rents, they compete on either price or features. Monopolies work when there's a barrier to entry beyond name recognition.
- fastball 10y ago
  The app changes. That's what is so great about the fluidity of Uber, without medallions and regulation and such. If Uber starts to increase prices because they have a monopoly, a lone person can build an app that's cheaper.
  - angry-hacker 10y ago
    In theory, yes, but you need to convince all the drivers and customers to install and use that app. A lone person can create a new twitter and facebook too, it doesn't mean anyone is using it. I'm sure there are lone builders popping up every day. Is anyone using it, is there competition? - no.
    - maverick_iceman 10y ago
      Why not? In Austin after the exit of Uber and Lyft there are still multiple ride sharing options.
    - fastball 10y ago
      It's very easy to convince riders if it's cheaper. It's very easy to convince drivers if you give them a bigger cut. If neither is possible, then Uber has already optimized the market, and there is nothing to complain about.
- jaredklewis 10y ago
  If uber gets a monopoly and is charging too much, another company like Google, Apple, or whoever will start offering ride sharing, to get a slice of the pie.

What makes you think that cab companies aren't ripping you off already? In my area, you pay over twice the amount for a cab compared to uber.

by bmon 10y ago

What makes you think that cab companies aren't ripping you off already? In my area, you pay over twice the amount for a cab compared to uber.

angry-hacker 10y ago

And what do you think happens when they have the monopoly and/or VC's start wanting their money back?

zigzigzag 10y ago
Er, either prices float to their natural level and there's no problem (i.e. Uber's profits are reasonable), or a competitor comes along. Come on, keep some perspective. Uber is a taxi app. We're not talking about a Manhatten Project of software here. Duplicating the Uber experience is easy. 99% of the effort they're putting in there is the fights with all the governments, regulators, taxi unions etc.
- angry-hacker 10y ago
  And how those new apps get traction? They either need VC money or they die. Facebook and Twitter are not Manhattan projects either, but there's no real competition. Right now Uber is using the VC money to break or ignore laws and create itself a monopoly. If we really wanted to disrupt the Taxi business, you need to destroy all the regulation for everyone. Collecting tax pennies and giving them away does not help, of course. It does not matter what the right answer is; the playground needs to be equal.
  - zigzigzag 10y ago
    Facebook and Twitter are in competition. And I think you underestimate the complexity of a project like Facebook. It started small, but back then people's expectations were much lower. If Facebook started charging for its services or otherwise pissing off its users in big and obvious ways, I guarantee there'd be a serious competitor on the streets within months.
  - brownbat 10y ago
    > And how those new apps get traction? In a world where Uber is charging monopoly rents, they compete on either price or features. Monopolies work when there's a barrier to entry beyond name recognition.
fastball 10y ago
The app changes. That's what is so great about the fluidity of Uber, without medallions and regulation and such. If Uber starts to increase prices because they have a monopoly, a lone person can build an app that's cheaper.
- angry-hacker 10y ago
  In theory, yes, but you need to convince all the drivers and customers to install and use that app. A lone person can create a new twitter and facebook too, it doesn't mean anyone is using it. I'm sure there are lone builders popping up every day. Is anyone using it, is there competition? - no.
  - maverick_iceman 10y ago
    Why not? In Austin after the exit of Uber and Lyft there are still multiple ride sharing options.
  - fastball 10y ago
    It's very easy to convince riders if it's cheaper. It's very easy to convince drivers if you give them a bigger cut. If neither is possible, then Uber has already optimized the market, and there is nothing to complain about.
jaredklewis 10y ago
If uber gets a monopoly and is charging too much, another company like Google, Apple, or whoever will start offering ride sharing, to get a slice of the pie.