“But what is a ‘gypsy’ cab? A ride is a ride is a ride.”
Cities regulate cabs for the following reasons:
1) safety of consumers. Entering a stranger’s car, which automatically locks, and when you might be at any number of vulnerabilities like drunk, new in town, female with a male driver, high, medically compromised - not the same as shopping at the store. Higher standards of safety are needed.
2) safety of drivers. Drivers are quite vulnerable to attack in these close, semi private quarters.
3) traffic and wear on the street issues - if we all can drive a car for hire whenever, it’s like allowing hot dog stands whenever and wherever. Some like the idea. But you end up with the sidewalk really clogged and hot dog vendors everywhere. In SF we are limited to 2,000 cabs. Uber says they have about 40,000 drivers here and I believe it. The congestion has become insane. I assume wear and tear of streets, similar.
4) liability issues - making sure anyone harmed by a driver is protected at least in terms of adequate insurance.
5) worker protections - monitoring of drivers to make sure they are not exploited (taking advantage of illegals a serious problem) and having them work, say, more than a 10 hour day (Uber drivers drive in to SF from as far away as LA, and work the whole weekend taking cat naps in their cars in the grocery parking lots. Cab drivers are flagged for such behavior).
Gypsy cabs are in third world countries and many people who want to be safe and not ripped off, don’t take them.
Cities started to regulate Taxis, along with Barbers and others, to prevent some from loosing their jobs to lower priced competition. It was all about some being more equal than others. Public safety is merely the fig leaf.