The TLC had the answer to this problem more than 100 years ago -taxis must have a medallion to operate in the city!
There is NO uber car that does not contribute to congestion, and NONE of them pay the city for business use of city streets!
DO YOUR JOB NYTLC! IMPOUND TAXI THAT OPERATE ILLEGALLY!
An uber car causes the same congestion as a legal taxi, but legal taxi numbers ARE RESTRICTED to stop them from doing what uber is doing!
Cure the problem MAKE UBER CARS RENT MEDALLIONS! The entire reason for the medallion system is to charge taxis for the business they do on city property!!!
The biggest Brazilian city just voted to ban uber and similar services outright, with a penalty of impounding their vehicle and a big fine. Smart cities recognize organized crime and don't fall for ubers "I'm not a criminal, I just organize them for all the profits!"
If medallion rights are not enforced it is hard to argue they have value. The reality is that NYC and the TLC are seeing that letting uber and others violate regulation DOES undermine legal regulated taxis. The TLC is moving to increase enforcement. Cars are being impounded. Regulations are being added to eliminate the disadvantage of obeying the law. Uber drivers will soon have to pay the same subsidy for handicap access that taxis pay -$2/ride. Uber will soon have to disclose ALL rides -this will expose violations of hail rules -police will not need to catch violators on the street. The TLC will simply run a program on the service files and issue tickets! The police can then just impound any uber car with outstanding warrants at their discretion.
The city makes billions from regulated taxis. You are a fool to think that they will watch uber destroy that revenue while stressing city resources to the limit.
NYC is the world to TAXI. Limiting the illegal taxi growth and applying regulation to remove the disadvantage law abiding taxis face will remove the chance of medallion value collapse that shortsellers are counting on to scare finance away.
To uber NYC is another demonstration that regulation cannot be simply evaded with a phone app. Uber valuation is insane because it is based on acheiving a monopoly that does not pay any taxes, obey any regulations, or pay any employees or funders of it's service. Uber is being recognized and shut down around the world and their ability to fund corruption will wane.
Uber is spending loads of money bribing politicians. From a major news mag
It’s also a tale about the power of backroom lobbying. Although Uber promotes itself as a great disrupter, it’s quickly mastered the old art of political influence. Over the past year, Uber built one of the largest and most successful lobbying forces in the country, with a presence in almost every statehouse. It has 250 lobbyists and 29 lobbying firms registered in capitols around the nation, at least a third more than Wal-Mart Stores. That doesn’t count municipal lobbyists. In Portland, the 28th-largest city in the U.S., 10 people would ultimately register to lobby on Uber’s behalf. They’d become a constant force in City Hall. City officials say they’d never seen anything on this scale.
NYC impounding uber cars for illegal operation.
“The fact that the TLC has seized such a staggering amount of Uber cars in such a short period of time only shows that more oversight is needed,” said Tweeps Phillips Woods of the Committee for Taxi Safety, which reps taxi brokers and drivers who own their cabs.
The New York Taxiworkers Alliance said business has worsened for them because there is no cap on the number of Uber drivers.
“I think it’s honestly a reflection of the oversaturation of the vehicles, and the desperation everyone is feeling on the streets to earn a living,” said Bhairavi Desai, who reps both yellow cab and Uber drivers for the union.
Desai wants the TLC to cap the number of Uber drivers allowed to operate in the city, and require the app to give them a minimum fare requirement, as well as a guaranteed number of trips.
“At least they’re beginning to take action,” she added.
A total of 938 black, livery and luxury cars were taken off the streets due to the change in policy, records show. Before, the drivers would have been given a summons and not had their cars impounded.
“Our officers noted an uptick in illegal activity attributable to licensed for-hire vehicles acting outside their authority,” said agency spokesman Allan Fromberg.
Fernando Mateo, who heads the New York State Federation of Taxi Drivers, said he would like to see drivers get a summons for their first offense, but it’s a good move by the city to nix repeated illegal activity.
“If you’re willing to risk breaking the law, you have to be willing to lose your car,” he said. “I would recommend, go back to the basics. Everyone has an app. You can’t make a living with just the Uber application.”
There is a booming industry in China hacking uber to get drivers paid for fake trips.
Instead, people like Li have figured out how to cash in on Uber’s largesse without giving anyone a ride. He’s part of a cottage industry that has developed so drivers can use modified smartphones and software to place fake bookings and trick Uber into paying out cash for phantom trips.
While there are no reliable estimates on how prevalent the scams are, interviews with Uber drivers, equipment vendors and reviews of postings on dedicated online forums suggest at least some of the $1 billion that Uber has pledged to spend to expand the service in China this year is being siphoned off by fake bookings. The scams may be counted among the number of trips Uber claims in China, a figure the company said reached almost 1 million per day in a letter this month to shareholders.
To create a fake trip, an Uber driver has essentially two options, according to drivers interviewed by Bloomberg, who asked not to be named discussing information that may get them barred by the company.
The first is a do-it-yourself option where the driver buys a hacked smartphone that can operate with multiple phone numbers and therefore multiple Uber accounts. Drivers use one number to act as a rider and request a lift, and then accept the trip as a driver with another phone number.
A driver like Li, for example, may know that he has a legitimate fare waiting for him at the airport, but he doesn’t want to make the trip there without getting paid. He could then request a trip as a rider, let the booking show up on Uber’s GPS tracking software as his car heads to the airport and then get paid by Uber for taking a “customer” on the route.
The second option involves working with other scammers over the Internet. If a driver doesn’t have a hacked phone, he can go into one of several invitation-only online forums and request a fake fare from professional ride-bookers. These bookers
The 'threat' is minimal but the challenge is for NYC to enforce the medallion requirement for providing taxi service. The argument will remain until the city get off it's #$%$ and enforces the law. The city has begun impounding illegal uber taxis. This is the FIRST time they have done ANYTHING despite the fact there are many severe negative impacts of uber operation.
Agreed that Uber drivers are not making nearly what is claimed, but there are no checks and balances. Who has any interest in protecting uber drivers? The FTC has attacked much smaller false claims in listed companies. No personal attorneys want to take on $B lawyers from uber for one driver -need class action and that takes time.
Where as you on the other hand cite NO value criteria or any criteria for that mater and offer only the tautology that it is going down because it goes down while claiming to be professional.
There is one word for for your opinion -momentum. A pro would not waste time with the insulting blather.
The value of the value of the portfolio is way up, costs are down, the government still guarantees the loans -why the hell is this trading 25% off book value and dropping!
This is one of the few companies that BENEFIT from Greece and China #$%$ themselves. Wake up!
I have seen suggestions and some evidence that there are 'pairs trades" going on. Long oil, short stock.
It appears LINE has been getting the selling end of this trade. Lots of Bozos claiming earnings will be bad, but evidence is in favor of solid coverage and improving outlook.
There was a recent story claiming LINE earnings will be down but the story has a severe downward bias
-oil price is up to the guide value LINE gave for reference at the beginning of the year -with a 1.2 coverage ratio!
-NGL are still down -this is not new, they were down last Q The statement that NGL is down is only relative to oil being up! NGLs are so low that oil price is not relevant because ethane rejection will be used to sell more natural gas. Nat gas prices are up. That means nothing to earnings beacuse LINE is 100% hedged but it DOES matter to NGL via ethane rejection. There will be no change in earnings or cash flow due to NGLs. There will be a beat in nat gas volume.
-Cost reductions will increase Q2Q -this is the biggest improvement and it IS NOT in the prior projections.
-5% more shares is an obvious 5% drag on earnings offset by a reduction in interest payments -and this might not be a negative as the debt might have been high interest or bought at a discount. Does anyone actually know the interest rate that was paid off? If you don't please don't be an #$%$ and write stories that presume you do.
Shares are in the toilet since since the secondary. I am #$%$ about it myself but at the current price LINE is clearly being shorted by EVERY pairs trader. Watch the short interest levels -my prediction is that LINE reports positive cash flow after interest and div. coverage ~1.1 and a short covering rally based on both LINE earnings AND poor results by small rivals that were in the pair trade.
My understanding is that there are companies working to provide a similar ap for hailing licensed taxis and the NYTLC is supporting the development. Could it be that the TLC will apply the obvious regulations to ride share when legit taxis have undeniable equivalent offering? The recent rules they have introduced require ride reporting -all the data they need to charge violators for operating a taxi without a licence (medallion).
The courts are not turning against Uber, they are turning against the practice of using contracts to circumvent laws -particularly on labor. This is a multi decade battle on a three decade trend. There are cases that have gone all the way through and exhausted appeals. FedEx just paid over a quarter billion to it's drivers claimed contractors. Very similar case -the major differences would be that FedEx dictated the uniform and the vehicles were branded on the other hand FedEx drivers were not rated continuously and could not lose their job based on rating -that is big.
The other important point is that more than half the expense invloved DOES NOT DEPEND ON COURT RULINGS. The IRS and the state revenue services want their money, and they do not need courts to give it to them they only need courts to not give it back. It is Ubers burden to prove it does not owe SS, employment taxes, workers comp....
Now for those fools out there that still think Uber will escape unregulated I ask WHO IS PAYING THESE TAXES? ARE THE "INDEPENDENT CONTRACTORS"PAYING OUT OF THEIR SUB-MINIMUM WAGE? NO? THEN WHY DO YOU THINK UBER WILL NOT BE CHARGED?
The driver who won the California ruling is not a lawyer but represented herself!
SAN FRANCISCO (Reuters) - The former Uber driver who won a potentially landmark employment ruling against the ride-sharing company told Reuters on Wednesday she relied on her years of running a phone sex company to take on Uber, one of Silicon Valley's biggest private companies.
Barbara Ann Berwick represented herself, without an attorney, before the California Labor Commission, which found earlier this month that she had been an Uber employee, not an independent contractor, and thus was entitled to be reimbursed for expenses.
The ruling made waves in the tech world on Wednesday as it could impact the way many sharing-economy companies operate. Uber said the decision did not apply to other workers and has appealed it to San Francisco Superior Court.
Now a financial consultant, Berwick said she learned the nuances of contractor law when she owned a phone sex business - "Linda's Lip Service." The company employed some workers but the "fantasy artists" who spoke to customers were all independent contractors.
"I had to make sure I did everything right," she told Reuters in an interview shortly after the decision was published.
Under California law, workers are deemed employees if the company exerts a certain degree of control over how they do their jobs. The commission wrote in Berwick's ruling that Uber is "involved in every aspect of the operation."
Classifying Uber drivers as employees could open the company up to considerably higher costs, including Social Security, workers' compensation and unemployment insurance.
Analysts say that such a change could affect Uber's valuation, currently above $40 billion, and the valuation of other companies that rely on large networks of individuals to provide rides,
The latest funding attempts by Uber have gone silent. They were claiming that they would get to a $50B valuation but I suspect Uber was the origin of that rumor.
All in all the numbers just don't add up -why does Uber need so much money so soon after the billions they just raised if they are profitable as claimed?
If they are so profitable and have such great growth prospects why are they trying to turn their drivers into pizza delivery boys? Is it because minimum wage work would be a great raise for them?
The pizza chains declined -could it be that Uber can not be trusted with something as important as a hot pizza? Could it be that the chains lawyers know that Uber will lose the contractor/employee fight with it's drivers and they want no part of the back taxes and compensation?
Uber tried to get delivery work from amazon and others but failed again. My view is that much of the $40B valuation they justified in the last round was based on a significant amount of delivery because the taxi market is limited. I wonder what lies and claims they will need to make for $50B?
The biggest change I am looking for is for Uber to stop paying for biased news stories. But these shills are so cheap I expect that Uber will cut back on expensive lawyers and bribes before they cut the cheap propaganda. The next time you see a story attacking TAXI or the taxi industry look fo the words "Paid" or "Promoted" story. TheStreet stories on TAXI are all paid.