[johnglasgow]

Three points:

1. Sounds like UberCab should look into licensing out their platform to existing cab companies. It would mean lower margins, but they can quickly scale throughout the US and beyond much faster.

2. UberCab's blog post is arrogant. Did they really think they can avoid paying expensive licensing fees because they are using black cars instead of yellow cabs? Taxi licenses are very expensive and a lucrative revenue source for every major city. A taxi seat can cost as much as 1 million to purchase in NYC, and I know other cities such as SF and LV are not much cheaper due to the fixed number of licenses. I can only imagine the outrage of other cab drivers losing work to cheaper services (i.e. UberCab) because they are not paying licensing fees.

3. UberCab can easily recover albeit at lower margins. They need aggressive biz dev to quickly secure licenses. I hope they can continue to disrupt city transportation.