Court Orders UberPop Use To Be Banned In All of Italy
An anonymous reader writes: A judicial court in Italy has ordered the UberPop app to cease offering its services [original source, in Italian], as it constitutes "unfair competition" again the taxi sector (taxi licenses in Italy are numbered, each can cost more than $100k to obtain). This sentence should be valid at the national level and comes after an injunction from taxi drivers in Milan, where a Universal Exhibition is incidentally bringing in thousands visitors from all over the world on a daily basis. Sources mention a judicial request to "block" the app, though no one is sure how this sentence has to be enforced and what the fines would be in case of violations.
"(taxi licenses in Italy are numbered, each can cost more than $ 100k to obtain)."
There's the problem. Piss off Italy...
I don't know about this case, but on this side of the world, it wasn't that simple.
These Uber and Lyfts didn't go and bully themselves in the taxi industry. They originally operated differently: You never needed a medallion to run a car service. -You needed a medallion to pick up people hailing you in the street.-
That is very different. What these new startups did, was use technology to remove the need to hail a cab. I could always just go and call a non-taxi car service with a phone. No one needed a medallion to pick me up after i called them.
Since hailing a cab is now obsolete, medallions are obsolete.
If your engineer needed to pay 100k to do work that isn't pre-arranged.....blah, the analogy falls apart so hard I can't even fix it.
When a driver wants to get out of the business they have to sell the medallion to someone else and hope they've paid off enough on it to break even.
First, most cab drivers in NYC don't own a medallion. The cab company they're working for owns it and essentially rents it out to it's drivers. They also rent out the cab itself, but the cab is actually cheaper(rent wise) than the medallion. There's a limited number of 'owner-operator' medallions where one of the requirements is that the owner drive the cab for X hours/day on average, and they tend to be cheaper than the unrestricted ones.
Second, medallions, especially owner-operator ones, have generally appreciated in value sufficient that they're more often treated as part of the owner's retirement plan/investment than 'hope to break even'.
That's crashing right now, which kind of sucks for those that invested under the assumptions of the 'old system'.
I don't read AC A human right