Uber and Lyft say they're ending services in Minneapolis over a city-mandated driver pay increase. The city council pushed through the measure to bring driver pay closer to the local minimum wage of $15.57 an hour.
Cabs almost universally sucked. Nobody wanted to use one outside of somewhere like NYC; and only then because parking sucked so hard driving yourself is an even shittier option than the shitty cabs.
In places like NYC, the government over regulated cabs so hard the medallions cost into the 6 and 7 digits of dollars. Out-competing that simply involved…not paying 7-digit sums of cash just for the ability to work as a cabbie…
Honestly, it was both, plus a third thing.
Uber/Lyft pay like shit and run at a loss.
Cabs almost universally sucked. Nobody wanted to use one outside of somewhere like NYC; and only then because parking sucked so hard driving yourself is an even shittier option than the shitty cabs.
In places like NYC, the government over regulated cabs so hard the medallions cost into the 6 and 7 digits of dollars. Out-competing that simply involved…not paying 7-digit sums of cash just for the ability to work as a cabbie…