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Uber and Lyft Spend $8.2 Million To Lose Fingerprint Election, Vow To Leave Austin (examiner.com)

On Saturday voters in Austin, Texas refused to repeal a new regulation that requires fingerprinting drivers for ride-sharing services like Uber and Lyft. In Austin's most expensive election ever, the ride-sharing services spent over $8.2 million pushing Proposition 1, apparently outspending their opponents by a 80:1 ratio. But on election day, the proposal to repeal ultimately received just 39,083 votes -- 44% of the total cast -- meaning the lobbyists spent $209 for each vote received. Both services have said they will cease operations in Austin rather than perform the fingerprint-based criminal background checks.

20 of 335 comments (clear)

  1. Waste of money by etinin · · Score: 5, Insightful

    They could rather have spent this kind of money performing the actual background checks.

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    1. Re:Waste of money by Iamthecheese · · Score: 2, Insightful

      I'm glad they fought this law, but not because I case about Uber. The Stasi had nothing on the level of surveillance being done in modern America.

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    2. Re:Waste of money by SvnLyrBrto · · Score: 3, Insightful

      There is the old saying: "Millions for defense, but not one cent for tribute.". If Uber and Lyft let themselves get bullied into submission in one place, doesn't that set the precedent for it to happen everywhere? Hell, Google even left the largest market in the world when pushed too far. And we celebrated that move.

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    3. Re:Waste of money by Anonymous Coward · · Score: 5, Insightful

      I am very much a libertarian sort of person, but I don't agree with Uber and Lyft on this one. That they should spend so much money to avoid conducting the most basic level of a serious background check makes me wonder if the are trying for willful blindness. A bogus background check just asks you to say who you are, and then they check your name. By requiring fingerprinting, Austin is helping to insure that individuals aren't side-stepping a criminal past.

      It is fairly easy to get fake credentials such as name and SS#, and pass yourself off as someone else. Admittedly, someone could fake or alter their fingerprints, but it is more durable. It is also less intrusive than a DNA check, which I would oppose, even though it might catch a few more people than fingerprints alone.

      I don't believe there should be unlimited "liberty" for those who are going to have another person alone in their vehicle, for hire.

    4. Re:Waste of money by sycodon · · Score: 3, Insightful

      Austin is going to actually do the fingerprinting and background check

      Odds that the costs will be passed along without some fee or markup?

      Nil.

      Austin never regulates anything without some sort of cost plus arrangement.

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    5. Re:Waste of money by Frosty+Piss · · Score: 4, Insightful

      The taxi companies (and according to you, the city council members in their pockets) spent *CLOSE TO NOTHING* to oppose this proposition. Uber and Lyft spent 8.2 million to push is. Yet the CITIZENS of Austin rejected Uber / Lyft's view. Did the taxi companies pay off everyone who opposed this prop? Or perhaps you drink too much right-wing Kool-Aid...

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    6. Re:Waste of money by art123 · · Score: 4, Insightful

      And that is why the libertarian mechanism does not always work. Oh, you lied about having 10 DWIs and now you just killed your passenger and yourself? Well, that's it! You are blacklisted and can never drive for Uber again. Take that.

    7. Re:Waste of money by Frosty+Piss · · Score: 4, Insightful

      No, we just have lots of leftists who like government being involved in every aspect of your life. We also have asinine bans on bags at grocery stores.

      Might I suggest Austin is not the right own for you?

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    8. Re:Waste of money by TheRaven64 · · Score: 3, Insightful

      self-regulation is a fairy tale told by the ignorant.

      Not so, it's a fairy tale told by the informed who have a vested interest in continuing to operate without regulation. Unfortunately, they've also now learned about regulator capture, so the choice is often between ineffective regulation and no regulation.

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  2. Re:Ads Backfired, I Hope by Anonymous Coward · · Score: 1, Insightful

    They won't really leave for good, because someone else is going to come in and steal their lunch. It's not as if Austin will go without a ride sharing service just because they both leave. Greedy pigs will be greedy pigs.

  3. Re:Ads Backfired, I Hope by Anonymous Coward · · Score: 5, Insightful

    I live in the city and got tired of the ad barrage about government overreach. What Prop 1 would have done is not have regulations that apply to taxi drivers apply to them, as well as giving Uber/Lyft drivers the ability to stop and park -anywhere-, which causes traffic jams as they can sit blocking a road for almost a half hour.

    Taxi drivers also have to have a special licence in Texas, a chauffeur's license. This is not cheap. Ridesharing services? AFIAK, Nothing needed, so they get a free pass when it comes to this regulation.

    My take... if they want to take their toys and go home... so be it. There are other ridesharing companies which will obey the law of the land, who will gladly take their business.

  4. Voters rejecting ads, amazing by fustakrakich · · Score: 3, Insightful

    Imagine applying the same process to the November elections and completely purging the House of all incumbents. Let them have their Citizens United and spend all the money they want. With our votes, we can turn that money into confetti. No phony "reform" or term limits needed.

    So, they "vowed" to leave Austin. Maybe that was the idea behind the rule. This is a vaporous company (really, what's this 50 billion "valuation"bullshit?) that is going to leave a lot of people holding the bag when it disappears.

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  5. Re:the issue? by Anonymous Coward · · Score: 4, Insightful

    Their objection is that they're a "disruptive" "startup" "app" so they shouldn't have to play by any rules, because rules are so last year. They'd rather piss away $8 million fighting the regulations than spend a fraction of that to comply with them. Welcome to the new dot bomb, with a bunch of entitled twats leading the way.

  6. Re:Another example of the rich buying elections by XanC · · Score: 4, Insightful

    No, you've drawn the opposite of the correct conclusion. This demonstrates that no matter how much money you plough into a campaign, it's the votes that really matter.

  7. Re:Another example of the rich buying elections by Sarten-X · · Score: 4, Insightful

    That's a key detail, that is often lost on Slashdotters. You can't buy votes. You can buy attention and reputation, and that may lead to votes, but that connection is not guaranteed, and any attempt to ensure that votes are bought is illegal.

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  8. Re:It is their right to leave by Anonymous Coward · · Score: 4, Insightful

    Sure, but the passenger still died. The regulation is designed to prevent the death, instead of just correctly assign blame after the death. Sort of the difference between the liberal and libertarian viewpoints I guess.

  9. Re:It is their right to leave by Anonymous Coward · · Score: 2, Insightful

    Property rights. Who do you think owns the roads?

  10. Re:I dont understand what the problem is by ShanghaiBill · · Score: 3, Insightful

    I'm assuming regular taxi drivers also need to be fingerprinted

    Taxi drivers do not currently need to be fingerprinted, but under the new regulation they will need to submit fingerprints by Feb 2017. The fact that nobody cared about fingerprinting drivers until Uber and Lyft came along, indicates that fingerprinting is not designed to address an actual safety problem.

  11. Re:Ads Backfired, I Hope by R3d+M3rcury · · Score: 4, Insightful

    I live in the city and got tired of the ad barrage about government overreach. What Prop 1 would have done is not have regulations that apply to taxi drivers apply to them [...]

    This is what torques me off about Uber/Lyft.

    It's not ride-sharing. It's a taxi service.

    Ride-sharing is, like, "Hey, I'm going to work and I happen to drive past the airport. If anyone needs a lift to the airport and it's not too inconvenient, I'll give you a ride." Taxis, conversely, drive around to areas and wait for people who need rides and then take them where they want to go. When they drop off that person, they wait for someone else.

    I would be more than willing to bet that the majority--even the vast majority--ascribe more to the taxi model than the ride-sharing model. Sorry--they're taxis. Uber/Lyft are, essentially, nationwide taxi companies.

  12. There are lots by rsilvergun · · Score: 5, Insightful

    my brother just took an Uber and both folks were recently laid off. Also, I hate to be rude but were you not listening? Uber doesn't pay enough to pay for the wear and tear you're putting on your car. You're making well under minimum wage when you factor in the actual costs. And that's before we talk about the risk of driving professionally without commercial insurance (which again, Uber doesn't pay enough for).

    Uber was, is and always will be only viable so long as they can externalize their costs. That's why every single one of these "sharing" economy companies shut down the moment they were made to stop doing that. Remember that company that did the same thing with Maid services? As soon as the local government demanded they pay minimum wage by reimbursing the workers for mileage and supplies they shut down. Completely. Hell, they couldn't survive paying _minimum wage let alone a living wage. Neither could Uber.

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