Los Angeles has become the first city in America to require its taxi drivers to use an Uber Style app to be called the “e-hail” app. The new requirement will go into effect on August 20th.
The Los Angeles Board of Taxicab Commissioners made the decision on Thursday, Reuters reported, in an attempt to help local taxi services compete with Uber. Drivers who fail to use it will be fined $200 a day.
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Uber has gone through a very troubled six month period. Its drivers have been accused of rape in cities all over the world. It has been forced to cease operations in Spain, India and Hamburg, Germany. While the company still enjoys a multi-billion dollar valuation, it is not clear how long that will be maintained as potential investors are probably running scared from it.
So will Uber fall into the category of companies that are remembered more for how they changed their respective industries than their own successes? IBM is currently suffering; even though its P.C. became the industry standard. When was the last time that Sony revolutionized something in the world of electronics?
Los Angeles Board of Taxicab Commissioners President Eric Spiegelman told Reuters, “It’s probably not going to be a panacea but it’s going to improve things. At the very least, it’s a gigantic first step.”
