[enoptix]

For cab service, Uber rides are serviced by already existing metro cab companies. The Uber cabs in here in Chicago were already licensed cabs, but now they can get dispatched via Uber. How is that any different from say, a cab company deciding to dispatch its drivers with their own in-house iPhone app? Do you think that would that be allowed under these regulations?

[tptacek]

The deal Chicago has with taxi cabs is that street hails are reserved for regulated medallion taxi cabs; in exchange for that, the medallion owners are required to maintain vehicles, insurance, and coverage areas, and are required to comply with the billing procedures set up by Chicago.

Uber currently uses Chicago tax company drivers directly, but doesn't comply with the regulations the medallion owners are required to comply with --- for instance, Uber adds 20% to the fares, which is something cab companies can't do. Uber's defense for this is that using an iPhone to get a cab isn't a "street hail"; the cab companies argue that they're equivalent. We'll see who wins.

[untog]

Uber Cab is a relatively new addition- when people discuss "Uber" they are usually referring to the black car service.