Posted on 01/18/2015 1:42:56 PM PST by 2ndDivisionVet
Uber chief Travis Kalanick said he wants to expand operations in Europe and, in the process, create 50,000 jobs and take 400,000 personal vehicles off the road.
Kalanick said the ride-sharing service isn’t opposed to regulation, but wants “progressive regulation” that promotes safe and affordable rides and generates tax revenue without limiting competition. Cities around the globe have been going after Uber and other services, using a mix of existing regulations and new laws.
“We want to make 2015 the year where we establish a new partnership with (European Union) cities,” Kalanick said, speaking Sunday at the DLD Conference in Munich.
Uber is coming under increased scrutiny from lawmakers and regulators around the globe. The company was hit with a cease and desist in Madrid, Spain; a shutdown order in Bangkok, Thailand; a ban on unlicensed taxi drivers in Beijing, China; and a ban in Delhi, India, where an Uber driver was arrested and charged with rape, kidnapping and intimidation of a 25-year-old passenger. Just last week South Carolina issued a cease and desist order, ordering the company to halt operations.
Antiquated laws around the globe are preventing safe, affordable rides, Kalanick said, highlighting a few particularly egregious statutes, such as one in South Korea that allows foreigners only to take a chauffeured car.
“If you are a Korean, it is illegal for you to have a nice ride that you paid a fair price for.”
Instead, Kalanick argued in favor of more modern regulations that still promote safety, competition and tax revenue.
Kalanick shared some new stats, noting that 1.6 million people have taken an Uber in its four and a half years of operation, creating the equivalent of 7,500 full-time jobs. In New York, the company has served 1.9 million riders in three years and created the equivalent of 13,750 jobs. In London, there have been more than 900,000 riders and the creation of the equivalent of 7,800 jobs.
Kalanick said that the company can now meet with cities and promise to create the equivalent of 10,000 jobs in four years.
“We’re starting to hit that inflection point,” he said.
Kalanick began his talk, sharing the story of how Uber was born. The idea for the service, he said, came after he and Uber’s other co-founder had trouble getting a taxi in Paris. When they got back to San Francisco they realized they had the same problem and built Uber as a side project for the two of them and a hundred of their friends.
“It wasn’t meant to be a big business,” he said. “It just turned out that everybody in our city wanted it.”
Kalanick said Uber would eventually prove to be cheaper than owning and driving a car, once the service can can achieve more efficiency with features such as with UberPool, which lets riders share when going the same direction. At the same time, he said, drivers can continue to earn $25 or more per hour.
“This car replacement story is not just a vision or a dream,” Kalanick said. its something that is actually taking place today.”
It sounds like you might already know what they are.
What are the true costs?
Another aspect of this that doesn't get a lot of attention is the tax implications. If Uber drivers are technically independent contractors, then Uber may be required to file 1099 forms with the IRS and the income their drivers get paid must be reported to the IRS.
As time goes on, I think a lot of these drivers are going to decide that this isn't such a great deal for them.
Interestingly, I don't think Uber sees this as a long-term venture as it is currently constructed. I've long felt that their ultimate goal is to make money by selling their rideshare technology to taxi and limousine companies all over the world.
I wonder what happens when one of these Ubermobiles gets into an accident. Who gets sued?
1. If you are driving your own vehicle and carrying a passenger through Uber's ridesharing service, your insurance company will not be obligated to pay the claim unless you have a special rider on your policy that allow you to operate your vehicle for commercial purposes.
2. As a result, Uber's insurance policy would cover the claim.
Not exactly. There is a very encouraging trend among young people today in which they Uber to and from bars as opposed to taking their own cars. These kids would never take a traditional taxi. This is cutting down significantly on having drunk drivers on the road.
Yes, you have said this many times before. And you are still 100% wrong.
Damn right I was wrong. I thought for sure these companies would be regulated out of business by now. LOL.
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