ridesharing company

{{short description|Online vehicle for hire service}}

{{Use mdy dates|date=October 2021}}File:Uber taxi in Moscow.jpg car in Moscow]]

{{E-commerce}}

A ridesharing company (or ridehailing service) is a company (or service offered by a company) that, via websites and mobile apps, matches passengers with drivers of vehicles for hire that, unlike taxis, cannot legally be hailed from the street. The vehicles used in ridesharing/ridehailing service are called app-taxis or e-taxis.

Ridesharing companies were founded beginning in the 2010s, after the proliferation of the Internet and mobile apps.{{Cite web | url=http://innovativemobility.org/wp-content/uploads/2015/01/Ridesharing_in_North_America_Past__Present__and_Future.pdf | title=Ridesharing in North America: Past, Present, and Future | first1=Nelson D. | last1=Chan | first2=Susan A. | last2=Shaheen | publisher=University of California, Berkeley | date=November 4, 2011 | archive-url=https://web.archive.org/web/20140204033306/http://tsrc.berkeley.edu/sites/tsrc.berkeley.edu/files/Ridesharing%20in%20North%20America%20Past%20%20Present%20%20and%20Future.pdf | archive-date=February 4, 2014 | url-status=live}} In the 2020s, a few companies began offering rides in self-driving taxis.

The legality of ridesharing companies by jurisdiction varies; in some areas they are considered to be illegal taxi operations, while in other areas, they are subject to regulations that can include requirements for driver background checks, fares, caps on the number of drivers in an area, insurance, licensing, and minimum wage.

Studies have shown that ridesharing companies have created net jobs{{Cite news | title=Study Explores The Impact Of Uber On The Taxi Industry | url=https://www.forbes.com/sites/adigaskell/2017/01/26/study-explores-the-impact-of-uber-on-the-taxi-industry/ |last=Gaskell |first=Adi | work=Forbes | date=January 26, 2017 | url-access=limited |archive-date=April 19, 2022 |archive-url=https://web.archive.org/web/20220419171759/https://www.forbes.com/sites/adigaskell/2017/01/26/study-explores-the-impact-of-uber-on-the-taxi-industry/ |url-status=live}} and improved the efficiency of drivers of vehicles for hire due to advanced algorithms that pair riders with drivers.{{Cite journal |title=Disruptive Change in the Taxi Business: The Case of Uber | journal=American Economic Review | volume=106 | issue = 5 | doi=10.3386/w22083 | url=https://www.aeaweb.org/articles?id=10.1257/aer.p20161002 | last1=Cramer | first1=Judd | last2=Krueger | first2=Alan B. |date=May 2016}} They have been subject to perennial criticism for seeking to classify drivers as independent contractors, enabling them to withhold worker protections that they would have been required to provide to employees. Studies have shown that especially in cities where it competes with public transport, ridesharing contributes to traffic congestion, reduces public transport use, has no substantial impact on vehicle ownership, and increases automobile dependency.

Terminology: ridesharing vs. ridehailing

Although the term "ridesharing" is used by many international news sources, in January 2015, the Associated Press Stylebook, the authority that sets many of the news industry's grammar and word use standards, officially adopted the term "ride-hailing" to describe the services offered by these companies, claiming that "ridesharing" doesn't accurately describe the services since not all rides are shared, and "ride-sourcing" only is accurate when drivers provide rides for income. While the Associated Press recommended the use of "ride-hailing" as a term, it noted that, unlike taxis, ridesharing companies cannot pick up street hails.{{cite news | url=https://www.buzzfeednews.com/article/charliewarzel/lets-all-join-the-ap-stylebook-in-killing-the-term-ride-shar | title=Let's All Join The AP Stylebook In Killing The Term 'Ride-Sharing' | last=Warzel | first=Charlie | date=January 8, 2015 | work=BuzzFeed | access-date=December 16, 2018 | archive-date=November 18, 2018 | archive-url=https://web.archive.org/web/20181118164459/https://www.buzzfeednews.com/article/charliewarzel/lets-all-join-the-ap-stylebook-in-killing-the-term-ride-shar | url-status=live}}{{cite news | url=https://www.washingtonian.com/2015/06/30/why-you-shouldnt-call-uber-and-lyft-ride-sharing/ | title=Why You Shouldn't Call Uber and Lyft "Ride-Sharing" | last=Freed | first=Benjamin | date=June 30, 2015 | work=Washingtonian | access-date=December 17, 2018 | archive-date=December 17, 2018 | archive-url=https://web.archive.org/web/20181217203853/https://www.washingtonian.com/2015/06/30/why-you-shouldnt-call-uber-and-lyft-ride-sharing/ | url-status=live}}

The term "ride-sharing" has also been defined to refer to on-demand carpooling or shared transport, whereas "ride-hailing" has been defined as the hiring of a private driver for personal transportation.{{Cite news | url=https://www.remix.com/blog/ride-hailing-vs-ride-sharing-the-difference-explained | title=Ride-Hailing vs. Ride-Sharing: The Difference Explained | work=Via Transportation | date=June 7, 2021}}

History

Carpooling was popular in the mid-1970s due to the 1973 oil crisis and the 1979 energy crisis. The first employee carpools/vanpools were organized then at Chrysler and 3M.{{Cite web |last1=Oliphant |first1=Marc |last2=Amey |first2=Andrew |year=2010 |title=Dynamic Ridesharing: Carpooling Meets the Information Age |url=http://ridesharechoices.scripts.mit.edu/home/wp-content/papers/APA_TPD_Webinar_Aug2010.pdf |url-status=live |archive-url=https://web.archive.org/web/20170830030700/http://ridesharechoices.scripts.mit.edu/home/wp-content/papers/APA_TPD_Webinar_Aug2010.pdf |archive-date=August 30, 2017 |access-date=September 17, 2021}}

In the 1990s, carpooling was popular among college students, where campuses have limited parking space. The feasibility of further development of carpooling was investigated although the comprehensive technologies were not commercially available yet at the time.{{Cite journal |last=Ferguson |first=Erik |year=1997 |title=The rise and fall of the American carpool: 1970–1990 |url=https://link.springer.com/article/10.1023%2FA%3A1004928012320 |url-status=live |journal=Transportation |volume=24 |issue=4 |pages=349–376 |doi=10.1023/A:1004928012320 |s2cid=153058381 |archive-url=https://web.archive.org/web/20211106120946/https://link.springer.com/article/10.1023/A:1004928012320 |archive-date=November 6, 2021 |access-date=October 31, 2021}}{{Cite web |last1=Chan |first1=Nelson D. |last2=Shaheen |first2=Susan A. |date=November 4, 2011 |title=Ridesharing in North America: Past, Present, and Future |url=http://innovativemobility.org/wp-content/uploads/2015/01/Ridesharing_in_North_America_Past__Present__and_Future.pdf |url-status=live |archive-url=https://web.archive.org/web/20140204033306/http://tsrc.berkeley.edu/sites/tsrc.berkeley.edu/files/Ridesharing%20in%20North%20America%20Past%20%20Present%20%20and%20Future.pdf |archive-date=February 4, 2014 |publisher=University of California, Berkeley}}

Ridesharing programs began migrating to the Internet in the late 1990s.

A 2006 report by the Federal Transit Administration stated that "next day" responsiveness has been achieved but that "dynamic" ridematching has not yet been successfully implemented.{{cite web |title=ADVANCED PUBLIC TRANSPORTATION SYSTEMS: THE STATE OF THE ART UPDATE 2006 |url=https://bettertransport.info/pitf/FTA-dynamicRideSharingReview.pdf |url-status=live |archive-url=https://web.archive.org/web/20200923010534/https://bettertransport.info/pitf/FTA-dynamicRideSharingReview.pdf |archive-date=September 23, 2020 |access-date=August 15, 2020}}

In 2009, Uber was founded as Ubercab by Garrett Camp, a computer programmer and the co-founder of StumbleUpon, and Travis Kalanick, who sold his Red Swoosh startup for $19 million in 2007.{{cite news |last=Scott |first=Alec |date=November 19, 2015 |title=Co-founding Uber made Calgary-born Garrett Camp a billionaire |url=https://www.canadianbusiness.com/lists-and-rankings/richest-people/2016-garrett-camp-uber/ |url-status=live |archive-url=https://web.archive.org/web/20201021103717/https://www.canadianbusiness.com/lists-and-rankings/richest-people/2016-garrett-camp-uber/ |archive-date=October 21, 2020 |access-date=August 15, 2020 |work=Canadian Business}}{{Cite news |last=Shontell |first=Alyson |date=January 11, 2014 |title=All Hail the Uber Man! How Sharp-Elbowed Salesman Travis Kalanick Became Silicon Valley's Newest Star |url=https://www.businessinsider.com/uber-travis-kalanick-bio-2014-1 |url-status=live |archive-url=https://web.archive.org/web/20201112021333/https://www.businessinsider.com/uber-travis-kalanick-bio-2014-1?r=US&IR=T |archive-date=November 12, 2020 |access-date=October 24, 2021 |work=Business Insider}}

In 2011, Sidecar launched; its founder Sunil Paul patented the idea of hailing a ride via mobile app in 2002.{{cite news |last=Said |first=Carolyn |date=December 29, 2015 |title=Ride-sharing pioneer Sidecar to shut down ride, delivery service |url=https://www.sfgate.com/business/article/Ride-sharing-pioneer-Sidecar-to-shut-down-ride-6726144.php/ |url-status=live |archive-url=https://web.archive.org/web/20200608063459/https://www.sfgate.com/business/article/Ride-sharing-pioneer-Sidecar-to-shut-down-ride-6726144.php |archive-date=June 8, 2020 |access-date=August 15, 2020 |work=San Francisco Chronicle}}

Lyft was launched in the summer of 2012 by computer programmers Logan Green and John Zimmer as a service of Zimride, an intercity carpooling company they founded in 2007.{{cite news |last=Farr |first=Christina |date=May 23, 2013 |title=Lyft team gets $60M more; now it must prove ride-sharing can go global |url=https://venturebeat.com/2013/05/23/lyft-races-ahead-with-60m-in-funding-but-what-challenges-lie-ahead/ |url-status=live |archive-url=https://web.archive.org/web/20170727185342/https://venturebeat.com/2013/05/23/lyft-races-ahead-with-60m-in-funding-but-what-challenges-lie-ahead/ |archive-date=July 27, 2017 |access-date=April 26, 2020 |work=[entureBeat}}

Careem began operations in July 2012.{{cite news |last=Bashir |first=Omer |date=February 15, 2016 |title=Uber-clone vows safe, affordable ride. Should you Careem around Karachi, Lahore? |url=https://www.dawn.com/news/1238160 |url-status=live |archive-url=https://web.archive.org/web/20200809143529/https://www.dawn.com/news/1238160 |archive-date=August 9, 2020 |access-date=April 26, 2020 |website=Dawn.com}}

Bolt, a mobility company operating in Europe and Africa, was founded in 2013.{{Cite web |title=Request a ride, 24/7 |url=https://bolt.eu/ |access-date=2023-06-20 |website=Bolt |language=en}}

In 2013, California became the first state to regulate such companies; they are regulated as public utilities by the California Public Utilities Commission and the legal term used is "Transportation Network Company" (TNC).{{ cite news | url=https://techcrunch.com/2013/09/19/cpuc-ridesharing-regulations/ | title=California Regulator Passes First Ridesharing Rules, A Big Win For Lyft, SideCar, And Uber | last=Ha | first=Anthony | newspaper=TechCrunch | date=2013-09-19 | quote=The California Public Utilities Commission has unanimously approved new regulations around ridesharing services such as Lyft, SideCar and UberX ... According to a press release from the CPUC, the new regulations establish a new category of business called a Transportation Network Company, and it requires those companies to... }}

In the 2020s, a few companies such as Waymo began offering rides in robotaxis. Many pilot cities complained of vehicles blocking normal traffic flow and interfering with emergency services.{{cite news |last1=Lu |first1=Yiwen |title='Lost Time for No Reason': How Driverless Taxis Are Stressing Cities |url=https://www.nytimes.com/2023/11/20/technology/driverless-taxis-cars-cities.html |access-date=17 March 2024 |work=The New York Times |date=November 20, 2023}}

BlackWolf began in May 2023 in Atlanta, Georgia after security contractor Kerry KingBrown heard a woman claim she had been a victim of sex trafficking. He felt the need to focus on safety, and he created the service with the option of armed drivers. The company's web site says only those with military or law enforcemenmt experience can be hired as drivers, and their vehicles must meet requirements. BlackWolf expanded into cities in Florida, Tennessee and Arizona. By November 2024, over 300,000 were using the service. Expansion into Texas is planned for 2025, because BlackWolf "identified a significant increase in human trafficking" there.{{cite news|url=https://www.usatoday.com/story/news/nation/2024/11/15/blackwolf-armed-driver-rideshare-service-texas/76331189007/|title=Like Uber, but with guns: New rideshare with armed drivers is coming to 3 Texas cities|last=Cross|first=Greta|work=USA Today|date=November 16, 2024}}

Criticism

{{See also|Sharing economy#Criticism|Temporary work#Legal issues}}

File:No TNC Parking or Waiting sign, San Francisco International Airport cell phone lot.jpg, regulate where TNC (Transportation Network Companies - the legal term for rideshare companies in California) vehicles may pick up, drop off, or wait for passengers.]]

=Criticism from taxi companies and taxi drivers=

Values of taxi medallions, transferable permits or licenses authorizing the holder to pick up passengers for hire, have declined in value significantly. In 2018, this led to failures by credit unions that lent money secured by taxi medallions{{Cite news | url=https://www.americanbanker.com/creditunions/news/taxi-medallion-losses-drive-another-credit-union-out-of-business | title=Taxi medallion losses drive another credit union out of business | first=Palash | last=Ghosh | work=American Banker | date=October 1, 2018 | url-access=subscription}} and suicides by taxi drivers.{{Cite news | url=https://www.nytimes.com/2018/12/02/nyregion/taxi-drivers-suicide-nyc.html | title=Why Are Taxi Drivers in New York Killing Themselves? | first=Emma G. | last=Fitzsimmons | work=The New York Times | date=December 2, 2018 | url-access=limited}}{{Cite news | url=https://www.nbcnews.com/news/us-news/shadow-uber-s-rise-taxi-driver-suicides-leave-cabbies-shaken-n879281 | title=In the shadow of Uber's rise, taxi driver suicides leave cabbies shaken | first=Corky | last=Siemaszko | work=NBC News | date=June 7, 2018}}

==Legal cases by taxi companies and taxi drivers==

No lawsuit against Uber in which the plaintiffs were taxi companies has ended with a judgment in favor of the taxis. The only case that proceeded to trial, Anoush Cab, Inc. v. Uber Technologies, Inc., No. 19-2001 (1st Cir. 2021), which alleged that Uber caused asset devaluation by competing unfairly, resulted in a full verdict for Uber.{{Cite web | url=https://law.justia.com/cases/federal/appellate-courts/ca1/19-2001/19-2001-2021-08-06.html | title=Anoush Cab, Inc. v. Uber Technologies, Inc., No. 19-2001 (1st Cir. 2021) | work=Justia | date=2021}}

Flywheel, the largest operator of taxis in San Francisco, sued Uber in 2016, alleging antitrust violations and predatory pricing.{{Cite news | title=San Francisco taxi company sues Uber for "predatory pricing tactics" | url=https://techcrunch.com/2016/11/02/san-francisco-taxi-company-sues-uber-for-predatory-pricing-tactics/ | first=Megan Rose | last=Dickey | work=TechCrunch |date=November 2, 2016}} In 2021, a federal judge threw out the bulk of the case and Uber settled the remainder of the case by integrating Flywheel taxis into its mobile app.{{Cite news | url=https://news.bloomberglaw.com/antitrust/uber-resolves-san-francisco-cab-companys-predatory-pricing-suit | title=Uber Resolves San Francisco Cab Company's Predatory Pricing Suit | first=Mike | last=Leonard | work=Bloomberg Law | date=December 13, 2021 | url-access=subscription}}

In 2019, 8,000 taxi drivers, represented by law firm Maurice Blackburn, filed a class action lawsuit against Uber in Australia alleging illegal taxi operations, loss of income and loss of value of taxi and/or hire car licences. Uber agreed to settle the case by paying AU$271.8 million.{{Cite news | url=https://www.mauriceblackburn.com.au/class-actions/join-a-class-action/uber-class-action/ | title=Uber class action | work=Maurice Blackburn}}

=Legal cases by drivers=

==Driver classification under employment law==

Unless otherwise required by law, ridesharing companies have classified drivers as independent contractors and not employees under employment law, arguing that they receive flextime not generally received by employees. This classification has been challenged legally since it affects taxation, minimum wage requirements, working time, paid time off, employee benefits, unemployment benefits, and overtime benefits.{{cite news | title='I don't like being treated like crap': gig workers aim to retool a system they say is rigged | url=https://www.theguardian.com/business/2021/aug/27/gig-workers-massachusetts-lawsuit-independent-contractor-status | first=Michael | last=Sainato | work=The Guardian | date=August 27, 2021 | archive-url=https://web.archive.org/web/20211031160651/https://www.theguardian.com/business/2021/aug/27/gig-workers-massachusetts-lawsuit-independent-contractor-status | archive-date=October 31, 2021 | url-status=live}}

Jurisdictions in which drivers must receive the classification of "employees" include the United Kingdom (after the case of Aslam v Uber BV which was decided by the Supreme Court of the United Kingdom),{{Cite news | last=Thompson | first=Rachel | url=https://mashable.com/article/uber-loses-appeal-supreme-court-uk/| title=Uber loses its final appeal in UK Supreme Court in landmark ruling | work=Mashable | date=February 19, 2021 | archive-url=https://web.archive.org/web/20210219110112/https://mashable.com/article/uber-loses-appeal-supreme-court-uk/ | archive-date=February 19, 2021 | url-status=live}}{{cite news | title=Uber says it will treat UK drivers as workers in wake of Supreme Court ruling | url=https://techcrunch.com/2021/03/16/uber-says-it-will-treat-uk-drivers-as-workers-in-wake-of-supreme-court-ruling/ | first1=Kirsten | last1=Korosec | first2=Natasha | last2=Lomas | work=TechCrunch | date=March 17, 2021 | archive-url=https://web.archive.org/web/20210408214554/https://techcrunch.com/2021/03/16/uber-says-it-will-treat-uk-drivers-as-workers-in-wake-of-supreme-court-ruling/ | archive-date=April 8, 2021 | url-status=live}} Switzerland,{{cite news| url=https://www.swissinfo.ch/eng/wage-dumping-_swiss-authorities-say-uber-drivers-should-be-treated-as--employees-/43984356 | title=Swiss authorities say Uber drivers should be treated as 'employees' | work=Swissinfo | date=March 19, 2018 | archive-url=https://web.archive.org/web/20201011173048/https://www.swissinfo.ch/eng/wage-dumping-_swiss-authorities-say-uber-drivers-should-be-treated-as--employees-/43984356 | archive-date=October 11, 2020 | url-status=live}} New Jersey,{{Cite news | url=https://www.engadget.com/2019/11/14/new-jersey-uber-employment-tax-bill/ | title=Uber has to pay New Jersey nearly $650 million in employment taxes | work=Engadget | date=November 14, 2019 | archive-url=https://web.archive.org/web/20210116102551/https://www.engadget.com/2019-11-14-new-jersey-uber-employment-tax-bill.html | archive-date=January 16, 2021 | url-status=live}} and the Netherlands.{{Cite news | url=https://techcrunch.com/2021/09/13/dutch-court-finds-uber-drivers-are-employees/ | title=Dutch court finds Uber drivers are employees | first=Natasha | last=Lomas | work=TechCrunch | date=September 13, 2021 | archive-date=October 31, 2021 | archive-url=https://web.archive.org/web/20211031160651/https://techcrunch.com/2021/09/13/dutch-court-finds-uber-drivers-are-employees/ | url-status=live}}{{cite news | title=Uber Hit By Dutch Ruling That Deems Drivers Employees | url=https://www.forbes.com/sites/jonathankeane/2021/09/13/uber-hit-by-dutch-ruling-that-deems-drivers-as-employees/ | first=Jonathan | last=Keane | work=Forbes | date=September 13, 2021 | url-access=limited | archive-url=https://web.archive.org/web/20211031160652/https://www.forbes.com/sites/jonathankeane/2021/09/13/uber-hit-by-dutch-ruling-that-deems-drivers-as-employees/ | archive-date=October 31, 2021 | url-status=live}} California Assembly Bill 5 (2019) was passed to force drivers to be classified as employees in California, although ridesharing companies received an exemption by 2020 California Proposition 22, a ballot initiative.{{cite news | last=Luna | first=Taryn | url=https://www.latimes.com/california/story/2020-11-03/2020-california-election-tracking-prop-22 | title=California voters approve Prop. 22, allowing Uber and Lyft drivers to remain independent contractors | work=Los Angeles Times | date=November 4, 2020 | url-access=limited | archive-url=https://web.archive.org/web/20210104231140/https://www.latimes.com/california/story/2020-11-03/2020-california-election-tracking-prop-22 | archive-date=January 4, 2021 | url-status=live}} Ridesharing companies spent tens of millions of dollars on the campaign.{{Cite news | url=https://www.latimes.com/business/story/2020-09-08/uber-lyft-most-expensive-initiative | title=Column: Uber and Lyft just made their campaign to keep exploiting workers the costliest in history | first=MICHAEL | last=HILTZIK | work=Los Angeles Times | date=September 8, 2020 | url-access=limited | archive-date=November 4, 2020 | archive-url=https://web.archive.org/web/20201104231642/https://www.latimes.com/business/story/2020-09-08/uber-lyft-most-expensive-initiative | url-status=live}}{{Cite web | url=https://cal-access.sos.ca.gov/PDFGen/pdfgen.prg?filingid=2499011&amendid=0 | title=Late Contribution Report | publisher=Secretary of State of California | archive-date=September 12, 2020 | archive-url=https://web.archive.org/web/20200912185652/http://cal-access.sos.ca.gov/PDFGen/pdfgen.prg?filingid=2499011&amendid=0 | url-status=live}}

In some jurisdictions, laws were passed to guarantee drivers a minimum wage before and after expenses as well as paid time off and insurance benefits.{{Cite press release | url=https://www.mass.gov/news/ag-campbell-reaches-nation-leading-settlement-with-uber-and-lyft-secures-landmark-wages-benefits-and-protections-for-drivers | title=AG CAMPBELL REACHES NATION-LEADING SETTLEMENT WITH UBER AND LYFT, SECURES LANDMARK WAGES, BENEFITS AND PROTECTIONS FOR DRIVERS | publisher=Massachusetts Attorney General | date=June 27, 2024}}{{Cite news | title=New Study Finds Chicago Uber and Lyft Drivers Are Paid Below Minimum Wage | url=https://www.vice.com/en/article/g5bmjw/new-study-finds-chicago-uber-and-lyft-drivers-are-paid-below-minimum-wage | first=Edward | last=Ongweso Jr. | work=Vice | date=January 21, 2021 | archive-url=https://web.archive.org/web/20211030235304/https://www.vice.com/en/article/g5bmjw/new-study-finds-chicago-uber-and-lyft-drivers-are-paid-below-minimum-wage | archive-date=October 30, 2021 | url-status=live}} Uber has paid to settle accusations of having misled drivers about potential earnings{{cite news | title=Uber to pay $20 million to settle U.S. claims it misled drivers | url=https://www.reuters.com/article/us-uber-ftc/uber-to-pay-20-million-to-settle-u-s-claims-it-misled-drivers-idUSKBN15334C | work=Reuters | first=Diane | last=Bartz | date=January 19, 2017 | archive-date=December 15, 2018 | archive-url=https://web.archive.org/web/20181215222307/https://www.reuters.com/article/us-uber-ftc/uber-to-pay-20-million-to-settle-u-s-claims-it-misled-drivers-idUSKBN15334C | url-status=live | df=mdy-all}}{{cite news | title=Uber to pay $20 million to FTC to settle claims that it exaggerated how much drivers could make | url=https://www.businessinsider.com/uber-to-pay-20-million-to-ftc-over-driver-earning-claims-2017-1 | first=Biz | last=Carson | work=Business Insider | date=January 20, 2017 | archive-url=https://web.archive.org/web/20170120030630/http://www.businessinsider.com/uber-to-pay-20-million-to-ftc-over-driver-earning-claims-2017-1 | archive-date=January 20, 2017 | url-status=live | df=mdy-all}}{{cite news | title=Uber to Pay $20 Million to Settle FTC Suit Over Driver Pay | url=https://www.bloomberg.com/news/articles/2017-01-19/uber-to-pay-20-million-to-settle-ftc-suit-over-driver-pay | first=Ellen | last=Huet | work=Bloomberg News | date=January 19, 2017 | url-access=subscription | archive-date=January 20, 2017 | archive-url=https://web.archive.org/web/20170120020832/https://www.bloomberg.com/news/articles/2017-01-19/uber-to-pay-20-million-to-settle-ftc-suit-over-driver-pay | url-status=live | df=mdy-all}} and shortchanging drivers.{{cite news | url=https://www.theguardian.com/technology/2017/may/23/uber-underpaid-drivers-new-york-city | title=Uber admits underpaying New York City drivers by millions of dollars | first=Julia Carrie | last=Wong | work=The Guardian | date=May 23, 2017 | archive-url=https://web.archive.org/web/20190109121055/https://www.theguardian.com/technology/2017/may/23/uber-underpaid-drivers-new-york-city | archive-date=January 9, 2019 | url-status=live | df=mdy-all}}{{cite news | url=https://www.latimes.com/business/technology/la-fi-tn-uber-class-action-20180219-story.html | title=Uber class-action lawsuit over how drivers were paid gets green light from judge | first=Tracey | last=Lien | work=Los Angeles Times | date=February 19, 2018 | url-access=subscription | archive-date=January 13, 2019 | archive-url=https://web.archive.org/web/20190113232559/https://www.latimes.com/business/technology/la-fi-tn-uber-class-action-20180219-story.html | url-status=live | df=mdy-all}}{{Cite news | title=Uber drivers who sued over pay will get at least $20 each after | url=https://www.latimes.com/business/story/2019-07-23/uber-drivers-who-sued-over-pay-will-get-at-least-20-each | work=Los Angeles Times | date=July 23, 2019 | url-access=limited | archive-date=October 20, 2021 | archive-url=https://web.archive.org/web/20211020125441/https://www.latimes.com/business/story/2019-07-23/uber-drivers-who-sued-over-pay-will-get-at-least-20-each | url-status=live}}{{Cite news | url=https://www.courthousenews.com/judge-gives-preliminary-approval-to-uber-class-action-settlement/ | title=Judge Gives Preliminary Approval to Uber Class Action Settlement | first=HELEN | last=CHRISTOPHI | work=Courthouse News Service | date=September 27, 2018 | archive-date=October 19, 2021 | archive-url=https://web.archive.org/web/20211019085218/https://www.courthousenews.com/judge-gives-preliminary-approval-to-uber-class-action-settlement/ | url-status=live}}

==Price fixing allegations==

In the United States, drivers do not have any control over the fares they charge. A lawsuit filed in California, Gill et al. v. Uber Technologies, Inc. et al., alleged that this is a violation of the Sherman Antitrust Act of 1890. The lawsuit was denied class action status; a judge forced each plaintiff to go to arbitration individually. The case was dropped in March 2024.{{Cite web | url=https://www.pacermonitor.com/public/case/47686927/Gill_et_al_v_Uber_Technologies,_Inc_et_al | title=Gill et al v. Uber Technologies, Inc. et al | publisher=PacerMonitor | access-date=February 27, 2023 | archive-date=February 27, 2023 | archive-url=https://web.archive.org/web/20230227181543/https://www.pacermonitor.com/public/case/47686927/Gill_et_al_v_Uber_Technologies,_Inc_et_al | url-status=live}}{{Cite news | url=https://www.reuters.com/legal/litigation/uber-lyft-drivers-drop-price-fixing-lawsuit-california-2024-03-15/ | title=Uber, Lyft drivers drop price-fixing lawsuit in California | first=Mike | last=Scarcella | work=Reuters | date=March 15, 2024}}

=Safety issues=

Crimes have been committed by rideshare drivers{{cite news | url=https://www.ft.com/content/be935fdc-e4df-11e7-97e2-916d4fbac0da | title=Beirut killing reignites concerns about Uber safety | last1=Hook | first1=Leslie | last2=Solomon | first2=Erika | last3=Ram | first3=Aliya | work=Financial Times | date=December 19, 2017 | url-access=subscription | access-date=August 15, 2020 | archive-date=November 9, 2020 | archive-url=https://web.archive.org/web/20201109040754/https://www.ft.com/content/be935fdc-e4df-11e7-97e2-916d4fbac0da | url-status=live}} as well as by individuals posing as rideshare drivers who lure unsuspecting passengers to their vehicles by placing an emblem on their car or by claiming to be a passenger's expected driver.{{cite news | url=https://www.nytimes.com/2019/04/04/us/fake-uber-driver-assaults.html | title=They Thought It Was Their Uber. But the Driver Was a Predator. | first=Jack | last=Healy | work=The New York Times | date=April 4, 2019 | url-access=limited | access-date=August 15, 2020 | archive-date=December 21, 2020 | archive-url=https://web.archive.org/web/20201221130637/https://www.nytimes.com/2019/04/04/us/fake-uber-driver-assaults.html | url-status=live}} The latter led to the murder of Samantha Josephson and the introduction of Sami’s Law. Ridesharing companies have been accused of not taking necessary measures to prevent sexual assault.{{Cite news | url=https://www.businessinsider.com/lyft-lawsuit-women-claiming-lack-of-sexual-assault-kidnapping-protection-2019-10 | title=More than 30 women are suing Lyft, saying the company didn't do enough to protect them from sexual assault and kidnapping | last=Holmes | first=Aaron | work=Business Insider | date=October 25, 2019 | access-date=August 15, 2020 | archive-date=August 3, 2020 | archive-url=https://web.archive.org/web/20200803120627/https://www.businessinsider.com/lyft-lawsuit-women-claiming-lack-of-sexual-assault-kidnapping-protection-2019-10 | url-status=live}}{{Cite news | url=https://www.cnet.com/features/lyft-is-fostering-a-sexual-assault-epidemic-victims-say/ | title=Lyft is fostering a sexual assault 'epidemic,' victims say | last=Kerr | first=Dara | work=CNET | date=October 24, 2019 | access-date=August 15, 2020 | archive-date=November 12, 2020 | archive-url=https://web.archive.org/web/20201112024945/https://www.cnet.com/features/lyft-is-fostering-a-sexual-assault-epidemic-victims-say/ | url-status=live}} They have been fined by government agencies for violations in their background check processes.{{cite news | url=https://money.cnn.com/2017/11/20/technology/uber-colorado-background-checks-fine/index.html | title=Uber fined $8.9 million in Colorado for problematic background checks | last=Yurieff | first=Kaya | work=CNN | date=November 20, 2017 | access-date=August 15, 2020 | archive-date=November 11, 2020 | archive-url=https://web.archive.org/web/20201111171842/https://money.cnn.com/2017/11/20/technology/uber-colorado-background-checks-fine/index.html | url-status=live}}{{cite news | url=https://www.kktv.com/content/news/Lyft-Fined-After-Hiring-Driver-With-Felony-Convictions-469160123.html | title=Lyft fined after hiring driver with felony convictions | work=KKTV | date=January 13, 2018 | access-date=August 15, 2020 | archive-date=October 26, 2020 | archive-url=https://web.archive.org/web/20201026214146/https://www.kktv.com/content/news/Lyft-Fined-After-Hiring-Driver-With-Felony-Convictions-469160123.html | url-status=live}}{{cite news | url=https://chicago.suntimes.com/city-hall/2020/2/6/21126441/uber-lyft-driver-impersonate-passenger-attacks-chicago-city-council-fines | title=Aldermen crack down on ride-hailing safety | first=Fran | last=Spielman | work=Chicago Sun Times | date=February 6, 2020 | access-date=August 15, 2020 | archive-date=March 11, 2020 | archive-url=https://web.archive.org/web/20200311111344/https://chicago.suntimes.com/city-hall/2020/2/6/21126441/uber-lyft-driver-impersonate-passenger-attacks-chicago-city-council-fines | url-status=live}}{{#ifeq: {{ROOTPAGENAME}} | Uber | The 2016 Kalamazoo shootings in February 2016, which left six people dead in Kalamazoo, Michigan, were committed by an Uber driver. Although Uber was criticized for its background check process, the driver did not have a criminal record, and the background check did not cause alarm.{{cite news | url=https://www.cbc.ca/news/business/uber-driver-screening-kalamazoo-1.3459572 | title=Uber defends driver screening in wake of Kalamazoo shootings | last1=Durbin | last2=Krisher | first1=Dee-Anne | first2=Tom | agency=CBC News | date=February 23, 2016 | archive-date=July 26, 2018 | archive-url=https://web.archive.org/web/20180726053256/https://www.cbc.ca/news/business/uber-driver-screening-kalamazoo-1.3459572 | url-status=live | df=mdy-all}}

Because it increases the number of people riding in automobiles instead of safer forms of transportation, a study from the Becker Friedman Institute at the University of Chicago tied ridesharing to an increase in traffic fatalities, including pedestrian deaths.{{cite news | title=The Cost of Convenience: Ridehailing and Traffic Fatalities | first1=John | last1=Barrios | first2=Yael V. | last2=Hochberg | first3=Hanyi Livia | last3=Yi | work=Becker Friedman Institute | publisher=University of Chicago | url=https://bfi.uchicago.edu/insight/research-summary/the-cost-of-convenience-ridesharing-and-traffic-fatalities/ | date=March 19, 2019 | access-date=January 12, 2021 | archive-date=January 14, 2021 | archive-url=https://web.archive.org/web/20210114093528/https://bfi.uchicago.edu/insight/research-summary/the-cost-of-convenience-ridesharing-and-traffic-fatalities/ | url-status=live}}{{cite news | title=Does More Ride-Hailing Mean More Traffic Deaths? | url=https://www.bloomberg.com/news/articles/2018-10-26/uber-and-lyft-have-been-linked-to-rising-traffic-deaths | last=Bliss | first=Laura | date=October 26, 2018 | work=Bloomberg News | url-access=subscription | access-date=January 12, 2021 | archive-date=January 13, 2021 | archive-url=https://web.archive.org/web/20210113231611/https://www.bloomberg.com/news/articles/2018-10-26/uber-and-lyft-have-been-linked-to-rising-traffic-deaths | url-status=live}}

Studies have found that the presence of ridesharing companies in a city reduced the rate of drinking and driving crashes.{{Cite journal |last1=Conner |first1=Christopher R. |last2=Ray |first2=Hunter M. |last3=McCormack |first3=Ryan M. |last4=Dickey |first4=Jacqueline S. |last5=Parker |first5=Samantha L. |last6=Zhang |first6=Xu |last7=Vera |first7=Roberto M. |last8=Harvin |first8=John A. |last9=Kitagawa |first9=Ryan S. |date=2021-08-01 |title=Association of Rideshare Use With Alcohol-Associated Motor Vehicle Crash Trauma |url=https://doi.org/10.1001/jamasurg.2021.2227 |journal=JAMA Surgery |volume=156 |issue=8 |pages=731–738 |doi=10.1001/jamasurg.2021.2227 |pmid=34106241 |pmc=8190695 |issn=2168-6254}} Researchers have also found substantial decreases in both DUI arrests and motor vehicle injuries in Houston after Uber entered the market in 2014.{{Cite web |last=Hood |first=Uber Under the |date=2021-06-09 |title=New Research shows Uber's role in reducing drunk driving |url=https://medium.com/uber-under-the-hood/new-research-shows-ubers-role-in-reducing-drunk-driving-1df4bef36027 |access-date=2022-04-19 |website=Uber Under the Hood |language=en |archive-date=April 19, 2022 |archive-url=https://web.archive.org/web/20220419172537/https://medium.com/uber-under-the-hood/new-research-shows-ubers-role-in-reducing-drunk-driving-1df4bef36027 |url-status=live}}

In November 2017, after discovering that 57 drivers in the state had violations in their background checks, including a convicted felon that received permission to drive for Uber by using an alias, the Colorado Public Utilities Commission fined Uber $8.9 million, or $2,500 per day that an unqualified driver worked.{{cite news | url=https://money.cnn.com/2017/11/20/technology/uber-colorado-background-checks-fine/index.html | title=Uber fined $8.9 million in Colorado for problematic background checks | last=Yurieff | first=Kaya | work=CNN | date=November 20, 2017 | archive-date=September 8, 2018 | archive-url=https://web.archive.org/web/20180908174657/https://money.cnn.com/2017/11/20/technology/uber-colorado-background-checks-fine/index.html | url-status=live | df=mdy-all}}

In September 2017, Uber's application for a new license in London was rejected by Transport for London (TfL) because of the company's approach and past conduct showed a lack of corporate responsibility related to driver background checks, obtaining medical certificates and reporting serious criminal offences, and other issues regarding insurance and safety, including evidence that Uber driver accounts had been used by unauthorized drivers. After appealing the ruling, Uber was granted a license under certain conditions.{{Cite news | url=https://www.theguardian.com/technology/2020/sep/28/uber-keeps-london-licence-risk-tfl-safety | title=Uber granted London licence as court rules it 'no longer poses a risk' | first=Gwyn | last=Topham | work=The Guardian | date=September 28, 2020 | access-date=October 18, 2021 | archive-date=October 18, 2021 | archive-url=https://web.archive.org/web/20211018044742/https://www.theguardian.com/technology/2020/sep/28/uber-keeps-london-licence-risk-tfl-safety | url-status=live}}}}{{#ifeq: {{ROOTPAGENAME}} | Lyft | In 2019, more than 34 women sued Lyft in the United States alleging that they were raped or assaulted by Lyft drivers, and that the company did not do enough to keep them safe and that Lyft attracts drivers that plan to prey on vulnerable women.{{Cite news | url=https://www.cnet.com/features/lyft-is-fostering-a-sexual-assault-epidemic-victims-say/ | title=Lyft is fostering a sexual assault 'epidemic,' victims say | last=Kerr | first=Dara | work=CNET | date=October 24, 2019 | archive-date=November 2, 2019| archive-url=https://web.archive.org/web/20191102104420/https://www.cnet.com/features/lyft-is-fostering-a-sexual-assault-epidemic-victims-say/ | url-status=live}} Many women claim that, even after they reported their assault to Lyft, the company ignored their report and continued to allow the assailants to drive with Lyft.{{Cite web | url=https://www.stitcher.com/show/cyber/episode/lyft-and-uber-are-having-a-terrible-awful-no-good-time-64374464 | title=Lyft and Uber Are Having a Terrible, Awful, No-Good Time from CYBER | work=Stitcher Radio |archive-date=December 14, 2020 | archive-url=https://web.archive.org/web/20201214020241/https://www.stitcher.com/show/cyber/episode/lyft-and-uber-are-having-a-terrible-awful-nogood-time-64374464 | url-status=live}}}}

Ridesharing has also been criticized for encouraging or requiring phone use while driving. To accept a fare, some apps require drivers to tap their phone screen, usually within 15 seconds after receiving a notification, which is illegal in some jurisdictions since it could result in distracted driving.{{cite news | url=https://www.smh.com.au/business/workplace/uber-drivers-complain-they-are-forced-to-break-the-law-to-do-their-job-20190110-p50qm8.html | first=Timna | last=Jacks | title=Uber drivers complain they are forced to break the law to do their job.So that means that the drivers put the passenger in danger to which is against the law. | work=Sydney Morning Herald | date=January 11, 2019 | access-date=January 13, 2019 | archive-date=November 8, 2020 | archive-url=https://web.archive.org/web/20201108002916/https://www.smh.com.au/business/workplace/uber-drivers-complain-they-are-forced-to-break-the-law-to-do-their-job-20190110-p50qm8.html | url-status=live}}

Ridesharing vehicles in many cities routinely obstruct bicycle lanes while picking up or dropping off passengers, a practice that endangers cyclists.{{cite news | title='Fed up' cyclists send letter to Uber, Lyft asking drivers to stop obstructing bike lanes | url=https://www.bostonglobe.com/metro/2019/03/01/fed-cyclists-send-letter-uber-lyft-asking-drivers-stop-obstructing-bike-lanes/5zrtT5ADqoxYWttIeATb6O/story.html | last=Annear | first=Steve | work=The Boston Globe | date=March 1, 2019 | access-date=January 12, 2021 | archive-date=January 14, 2021 | archive-url=https://web.archive.org/web/20210114043306/https://www.bostonglobe.com/metro/2019/03/01/fed-cyclists-send-letter-uber-lyft-asking-drivers-stop-obstructing-bike-lanes/5zrtT5ADqoxYWttIeATb6O/story.html | url-status=live}}{{cite news | title=More Pedestrians and Cyclists are Dying in N.Y.C. Drivers are Often to Blame. | url=https://www.nytimes.com/2020/03/10/nyregion/nyc-deaths-pedestrian-cycling.html | last=Fitzsimmons | first=Emma G. | work=The New York Times | date=March 10, 2020 | url-access=limited | access-date=January 12, 2021 | archive-date=December 24, 2020 | archive-url=https://web.archive.org/web/20201224022414/https://www.nytimes.com/2020/03/10/nyregion/nyc-deaths-pedestrian-cycling.html | url-status=live}}{{cite news | title=It's Not Your Imagination: Uber and Lyft Drivers Almost Always Park in Bike Lanes | url=https://nyc.streetsblog.org/2019/08/05/its-not-your-imagination-uber-and-lyft-drivers-simply-park-in-bike-lanes/ | last=Lipson | first=Vivian | work=Streetsblog | date=August 5, 2019 | access-date=January 12, 2021 | archive-date=January 14, 2021 | archive-url=https://web.archive.org/web/20210114072726/https://nyc.streetsblog.org/2019/08/05/its-not-your-imagination-uber-and-lyft-drivers-simply-park-in-bike-lanes/ | url-status=live}}

=Insufficient accessibility=

Ridesharing has been criticized for providing inadequate accessibility measures for disabled people, in violation of local laws.

In some areas, vehicle for hire companies are required by law to have a certain amount of wheelchair accessible vans (WAVs) in use. However, most drivers do not own a WAV, making it hard to comply with the laws.{{Cite news | url=https://www.sfchronicle.com/business/article/Uber-does-not-have-enough-wheelchair-accessible-12714533.php | title=Uber does not have enough wheelchair-accessible vehicles, new lawsuit says | first=Carolyn | last=Said | work=San Francisco Chronicle | date=February 27, 2018 | access-date=April 25, 2018 | archive-date=November 9, 2020 | archive-url=https://web.archive.org/web/20201109030140/https://www.sfchronicle.com/business/article/Uber-does-not-have-enough-wheelchair-accessible-12714533.php | url-status=live}}

While ridesharing companies require drivers to transport service animals, drivers have been criticized for refusal to transport service animals, which, in the United States, is in violation of the Americans with Disabilities Act. In 2021, an arbitrator awarded $1.1 million to a visually impaired passenger who travels with a guide dog because she was denied rides 14 separate times.{{Cite news | url=https://www.businessinsider.com/uber-pay-1-million-blind-passenger-arbitration-discrimination-ada-2021-4 | title=Uber ordered to pay $1.1 million to blind passenger who was denied rides 14 separate times | first=Tyler | last=Sonnemaker | work=Business Insider | date=April 2, 2021}}

=Driver bias against passengers in certain demographic groups=

Several audit studies of ridehailing companies have been conducted by researchers around the U.S. While these studies do find evidence that ridehailing drivers discriminate against riders on the basis of race (and in one of the studies, alliance with LGBT groups), two of the studies which also examined taxis found suggestive evidence that rates of discrimination by taxi drivers are significantly higher than by ridehailing drivers.{{Cite journal |last1=Ge |first1=Yanbo |last2=Knittel |first2=Christopher R. |last3=MacKenzie |first3=Don |last4=Zoepf |first4=Stephen |date=2020-10-01 |title=Racial discrimination in transportation network companies |url=https://www.sciencedirect.com/science/article/abs/pii/S0047272720300694 |journal=Journal of Public Economics |volume=190 |pages=104205 |doi=10.1016/j.jpubeco.2020.104205 |hdl=1721.1/130158 |issn=0047-2727}}{{Cite journal |last=Brown |first=Anne E. |date=2023-06-01 |title=Prevalence and Mechanisms of Discrimination: Evidence from the Ride-Hail and Taxi Industries |url=https://journals.sagepub.com/doi/10.1177/0739456X19871687 |journal=Journal of Planning Education and Research |language=en |volume=43 |issue=2 |pages=268–280 |doi=10.1177/0739456X19871687 |issn=0739-456X}} The two studies that compare rates of discrimination in ridehailing services to taxis include an audit study set in Los Angeles in 2017 and another in Boston in late 2015 to 2016.

In the study set in Los Angeles, the author had participants of different races request rides from Uber, Lyft, and taxis. She found that Black riders were 73% (11 percentage points) more likely to have a taxi driver cancel on them than White riders. On the other hand, she found that Black riders were only 4 percentage points more likely to be cancelled on by an Uber driver than White riders (there was no statistically significant difference in likelihood for Lyft).

The Boston study notes that, at least at the time that the study was conducted, Lyft drivers were able to see all information in a rider's profile (including their uploaded photo and name) when reviewing a ride request; on the other hand, Uber drivers were only able to see a rider's name (and not their picture) after accepting a ride request. Thus, in the Boston study, riders were assigned distinctly "African American sounding names" and "white sounding names" to use when requesting a ride from both Uber and Lyft. Uber's setup of not allowing drivers to see rider's names till after a ride was accepted meant that the authors could quantify rates of discrimination by keeping track of how often riders assigned white sounding names were cancelled on compared to those assigned African American sounding names. In the end, the authors found that the riders assigned African American sounding names were more than twice as likely to get cancelled on as those assigned White sounding names. Despite this large disparity across the two groups, the authors found that there was no statistically significant difference in how long each group had to wait for a driver to arrive.

In 2024, a study by researchers at Carnegie Mellon University was published that focused on explaining why African American and White riders could experience such different cancellation rates but very similar wait times. Using an agent-based model developed to simulate real Uber and Lyft trips that have occurred in the city of Chicago, they found that the rapid rematching speed of Uber and Lyft drivers after a cancellation drastically reduces the effect of that cancellation on a rider's wait time. However, the paper also found that ridehailing services were not able to overcome the effects of racial residential segregation in Chicago (one of the most racially residentially segregated cities in the country{{Cite web |title=Most to Least Segregated Cities {{!}} Othering & Belonging Institute |url=https://belonging.berkeley.edu/most-least-segregated-cities |access-date=2024-12-19 |website=belonging.berkeley.edu}}); even when no drivers were cancelling on riders because of their race, the authors found that Black riders were waiting around 50% longer on average than White riders.{{Cite journal |last1=Cobb |first1=Anna |last2=Mohan |first2=Aniruddh |last3=Harper |first3=Corey D. |last4=Nock |first4=Destenie |last5=Michalek |first5=Jeremy |date=2024-10-08 |title=Ride-hailing technology mitigates effects of driver racial discrimination, but effects of residential segregation persist |journal=Proceedings of the National Academy of Sciences |language=en |volume=121 |issue=41 |pages=e2408936121 |doi=10.1073/pnas.2408936121 |issn=0027-8424 |pmc=11474100 |pmid=39348538|bibcode=2024PNAS..12108936C }}

In addition to the studies discussed in detail above, a 2018 study in Washington, D.C. found that drivers cancelled ride requests from African Americans and LGBT and straight ally passengers (indicated by a rainbow flag) more often, but cancelled at the same rate for women and men. The higher cancellation rate for African American passengers was somewhat attenuated at peak times, when financial incentives were higher.{{cite journal | title=When Transparency Fails: Bias and Financial Incentives in Ridesharing Platforms | first1=Jorge | last1=Mejia | first2=Chris | last2=Parker | doi=10.1287/mnsc.2019.3525 | journal=Management Science | volume=67 | issue=1 | date=January 2021 | pages=166–184 | s2cid=218928567 | url=http://iu.tind.io/record/3229/files/6125_When-Transparency-Fails.pdf}}{{Cite news | url=https://sfist.com/2019/09/27/study-finds-that-black-and-lgbtq-people-are-more-often-canceled-on-by-uber-and-lyft-drivers/ | title=Study Finds That Black and LGBTQ People Still Have Rideshare Drivers Cancel On Them More Often | first=JAY C. | last=BARMANN | work=Gothamist | date=September 27, 2019 | access-date=October 31, 2021 | archive-date=October 31, 2021 | archive-url=https://web.archive.org/web/20211031160653/https://sfist.com/2019/09/27/study-finds-that-black-and-lgbtq-people-are-more-often-canceled-on-by-uber-and-lyft-drivers/ | url-status=live}}

=Traffic congestion=

Studies have shown that especially in cities where it competes with public transport, ridesharing contributes to traffic congestion, reduces public transport use, has no substantial impact on vehicle ownership, and increases automobile dependency.{{cite news |url=https://www.businessinsider.com/uber-lyft-creating-traffic-cities-bruce-schaller-2018-7 |title=Uber and Lyft are creating more traffic and congestion instead of reducing it, according to a new report |first=Sean |last=Wolfe |date=July 27, 2018 |publisher=Business Insider |access-date=December 17, 2018 |archive-date=October 19, 2020 |archive-url=https://web.archive.org/web/20201019162527/https://www.businessinsider.com/uber-lyft-creating-traffic-cities-bruce-schaller-2018-7 |url-status=live}}{{cite web |url=https://data.londonsport.org/dataset/v855w/travel-in-london-report-12 |title=Travel in London Report 12 |page=116 |author=Transport for London |year=2019 |access-date=October 30, 2021 |archive-date=October 27, 2021 |archive-url=https://web.archive.org/web/20211027024957/https://data.londonsport.org/dataset/v855w/travel-in-london-report-12 |url-status=live}}{{cite news |url=https://www.theverge.com/2019/8/6/20756945/uber-lyft-tnc-vmt-traffic-congestion-study-fehr-peers |title=Uber and Lyft finally admit they're making traffic congestion worse in cities |author=Andrew J. Hawkins |date=August 6, 2019 |publisher=The Verge |access-date=October 30, 2021 |archive-date=October 27, 2021 |archive-url=https://web.archive.org/web/20211027104350/https://www.theverge.com/2019/8/6/20756945/uber-lyft-tnc-vmt-traffic-congestion-study-fehr-peers |url-status=live}}{{cite news |url=https://www.wsj.com/articles/the-ride-hail-utopia-that-got-stuck-in-traffic-11581742802 |title=The Ride-Hail Utopia That Got Stuck in Traffic |author=Eliot Brown |date=February 15, 2020 |work=The Wall Street Journal |access-date=October 30, 2021 |archive-date=October 26, 2021 |archive-url=https://web.archive.org/web/20211026230359/https://www.wsj.com/articles/the-ride-hail-utopia-that-got-stuck-in-traffic-11581742802 |url-status=live}}

Dead mileage specifically causes unnecessary carbon emissions and traffic congestion.{{cite news | url=https://gizmodo.com/rideshares-are-increasing-traffic-jams-and-making-them-1846762357 | title=Rideshares Are Increasing Traffic Jams and Making Them Longer, Study Finds | first=Victoria | last=Song | work=Gizmodo | date=April 26, 2021 | access-date=October 30, 2021 | archive-date=October 30, 2021 | archive-url=https://web.archive.org/web/20211030025349/https://gizmodo.com/rideshares-are-increasing-traffic-jams-and-making-them-1846762357 | url-status=live}} A study published in September 2019 found that taxis had lower rider waiting time and vehicle empty driving time, and thus contribute less to congestion and pollution in downtown areas.{{cite journal | last1=Zhang | first1=Ruda | last2=Ghanem | first2=Roger | title=Demand, Supply, and Performance of Street-Hail Taxi | journal=IEEE Transactions on Intelligent Transportation Systems | pages=4123–4132 | date=September 27, 2019 |volume=21 |issue=10 | doi=10.1109/TITS.2019.2938762 | arxiv=1909.12861 | bibcode=2019arXiv190912861Z | s2cid=203593159}} However, a 2018 report noted that ridesharing complements public transit.{{Cite journal | last1=Hall | first1=Jonathan D. | last2=Palsson | first2=Craig | last3=Price | first3=Joseph | date=November 1, 2018 | title=Is Uber a substitute or complement for public transit? | url=https://www.economics.utoronto.ca/public/workingPapers/tecipa-585.pdf | journal=Journal of Urban Economics | volume=108 | pages=36–50 | doi=10.1016/j.jue.2018.09.003 | s2cid=31480082 | issn=0094-1190 | access-date=August 15, 2020 | archive-date=April 30, 2019 | archive-url=https://web.archive.org/web/20190430163207/https://www.economics.utoronto.ca/public/workingPapers/tecipa-585.pdf | url-status=live}} A study published in July 2018 found that Uber and Lyft are creating more traffic and congestion.{{citation |url=https://www.businessinsider.com/uber-lyft-creating-traffic-cities-bruce-schaller-2018-7 |title=Uber and Lyft are creating more traffic and congestion instead of reducing it, according to a new report |first=Sean |last=Wolfe |date=July 27, 2018 |publisher=Business Insider |access-date=December 17, 2018 |archive-date=October 19, 2020 | archive-url=https://web.archive.org/web/20201019162527/https://www.businessinsider.com/uber-lyft-creating-traffic-cities-bruce-schaller-2018-7 |url-status=live}}{{citation | url=https://data.londonsport.org/dataset/v855w/travel-in-london-report-12 | title=Travel in London Report 12 |page=116 |author=Transport for London | year=2019 |access-date=October 30, 2021 |archive-date=October 27, 2021 | archive-url=https://web.archive.org/web/20211027024957/https://data.londonsport.org/dataset/v855w/travel-in-london-report-12 |url-status=live}}{{citation |url=https://www.theverge.com/2019/8/6/20756945/uber-lyft-tnc-vmt-traffic-congestion-study-fehr-peers |title=Uber and Lyft finally admit they're making traffic congestion worse in cities |first=Andrew J. |last=Hawkins |date=August 6, 2019 |publisher=The Verge |access-date=October 30, 2021 |archive-date=October 27, 2021 |archive-url=https://web.archive.org/web/20211027104350/https://www.theverge.com/2019/8/6/20756945/uber-lyft-tnc-vmt-traffic-congestion-study-fehr-peers |url-status=live}} A study published in March 2016 found that in Los Angeles and Seattle the passenger occupancy for Uber services is higher than that of taxi services, and concluded that Uber rides reduce congestion on the premise that they replace taxi rides.{{citation | first=Judd | last=Cramer |title=Disruptive Change in the Taxi Business: The Case of Uber | journal=National Bureau of Economic Research, Working Paper Series 22083 | date=March 2016 |doi=10.3386/w22083 |doi-access=free}} Studies citing data from 2010 to 2019 found that Uber rides are made in addition to taxi rides, and replace walking, bike rides, and bus rides, in addition to the Uber vehicles having a low average occupancy rate, all of which increases congestion. A 2021 study found that shifting private vehicle travel to ridehailing services can reduce air pollution costs, on average, but the increased costs from crash risk, congestion, climate change and noise outweigh these benefits.{{citation |url=https://pubs.acs.org/doi/10.1021/acs.est.1c01641 |title=Air Pollution, Greenhouse Gas, and Traffic Externality Benefits and Costs of Shifting Private Vehicle Travel to Ridesourcing Services |author=Jacob Ward, Jeremy Michalek and Constantine Samaras |date=September 20, 2021 |journal=Environmental Science and Technology|volume=55 |issue=19 |pages=13174–13185 |doi=10.1021/acs.est.1c01641 }} This increase in congestion has led some cities to levy taxes on rides taken with ridesharing companies.{{citation |url=https://www.wsj.com/articles/the-ride-hail-utopia-that-got-stuck-in-traffic-11581742802 |title=The Ride-Hail Utopia That Got Stuck in Traffic |author=Eliot Brown |date=February 15, 2020 |publisher=Wall Street Journal |access-date=October 30, 2021 |archive-date=October 26, 2021 |archive-url=https://web.archive.org/web/20211026230359/https://www.wsj.com/articles/the-ride-hail-utopia-that-got-stuck-in-traffic-11581742802 |url-status=live}} Another study shows that the surge factor pricing mechanism used for ridehailing services are informative for predicting taxi bookings as well, and that taxis incorporating this relative price can improve allocative efficiency and demand prediction.{{cite journal |title=The impact of ride-hail surge factors on taxi bookings |doi=10.1016/j.trc.2021.103508 | url=https://www.sciencedirect.com/science/article/abs/pii/S0968090X21004939 | last1=Agarwal | first1=Sumit | last2=Charoenwong | first2=Ben | last3 = Cheng | first3 = Shih-Fen | last4 = Keppo | first4 = Jussi |date=March 2022 |journal=Transportation Research Part C: Emerging Technologies |volume=136 |issue=March |bibcode=2022TRPC..13603508A |ssrn= 3157378 }}

A study published in July 2017 indicated that the increase in traffic caused by Uber generates collective costs in lost time in congestion, increased pollution, and increased accident risks that can exceed the economy and revenue generated by the service, indicating that, in certain conditions, Uber might have a social cost that is greater than its benefits.{{Cite journal |last=Pinheiro |first=Rafael Lemieszek |date=2017 |title=Intelligence is Open: Smart City versus Open City |url=https://journals.aesop-planning.eu/index.php/planext/article/view/26 |journal=PlaNext – Next Generation Planning |volume=4 |pages=8–26 |doi=10.24306/plnxt.2017.04.002 |doi-access=free |access-date=May 5, 2022 |archive-date=May 21, 2022 |archive-url=https://web.archive.org/web/20220521024548/https://journals.aesop-planning.eu/index.php/planext/article/view/26 |url-status=live}}

See also

References

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Category:Transport culture