DC Government Seeks to Outlaw Smartphone App for the Benefit of Taxi Industry

The upstart company Uber, which allows one to call for a ride wherever one is with the click of a button on an application, is running afoul of the DC taxi companies. Long insulated by a city council which basically worked in partnership with the companies, the DC taxis have run headlong into a disruptive business model. Instead of adapting they have chosen instead to double down on “government partnership.”

First Uber was declared illegal. That didn’t work. Then the city government tried to regulate Uber to death by forcing it to charge 5 times the going rate for taxis. But that didn’t work either.  DC residents flooded city council offices with calls and emails in support of Uber.

Now the Taxi Cab Commission has proposed yet more regs to insulate the established taxi companies.

As technology continues to evolve more and more industries will seek to hide under the skirts of government rather than compete when presented with a disruptive development to a current business model. This is not surprising, but this type of industry behavior should be curtailed wherever and whenever such behavior is exhibited. If it isn’t it is the average consumer who will pay.

Click here for more.

8 comments
ATM
ATM

Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts.Any way Ill be subscribing to your feed and I hope you post again soon.

July Quint
July Quint

We have to ban ATMs and self checkouts, too.

Mark Christian
Mark Christian

I guess lets just ban all technology. Why stop with smartphone apps? Lets just ban cell phones, computers, and hell even cars. After all all of those products (and nearly every other) put some people out of business. We seem to be headed to the dark ages in many areas anyways.

Kurt Pechinsky
Kurt Pechinsky

I think it's terrible that the poor guy that used to deliver bricks of ice to people (before refrigerators were invented) should be out of business just because someone invented electricity. He should be subsidized.

Aidan Haggerty
Aidan Haggerty

Uber sounds brillant, unlike the commissions try to protect themselves. If the free market worked the taxi companies would be more profitable in the long run; instead, the commissions insulate advances in marketing, customer service and etc.

Richard Gustafson
Richard Gustafson

How many industries would still exist if government tried to protect them all?

Robert Miller
Robert Miller

all taxi drivers need to take a few days off n c how they like that