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It's no secret that Uber is disrupting the taxi market at the cities it operates in, posing a serious threat to companies offering conventional taxi services, thanks to its innovative taxi-hailing app. The ride-sharing service has taken a lot of customers away from taxi companies in cities across the globe, and now it seems that Uber is about to take over one of the largest markets - New York city. Uber has been growing steadily in one of the world's largest cities, and last week its cars finally surpassed the number of New York yellow cabs. The city's Taxi and Limousine Commission (TLC) has announced that a total of 14,088 registered Uber cars are now operating in the Big Apple, compared to 13,587 taxi cabs.
The fact that Uber cars now outnumber NYCs' taxis is a pretty important milestone, especially considering that it has only been operating in the city for a little under 4 years, but it doesn't necessarily mean that yellow cabs are going to see a major loss in market share right away. According to the TLC, yellow cab rides still outpace Uber rides. Currently, there are 440,000 cab rides a day in New York, compared to only 20,000 to 30,000 rides with Uber. This comes as no surprise, though, given that most Uber drivers only work part time for the ride-sharing service and usually have other full-time jobs, unlike yellow taxis, which are available practically 24/7, because they are owned by taxi companies that employ more drivers who work for them full time.
But, it does mean that Uber is growing at a very fast rate in a city where conventional cabs have been extremely popular for a long time. That's why the New York city taxi industry is considering imposing a cap on the number of cars that are allowed to provide ride-sharing services through a taxi-hailing app. The Committee for Taxi Safety has proposed this measure in a bid to protect the taxi industry and prevent a further growth of Uber and similar companies.
The taxi industry group claims that the expansion of on-demand taxi services can contribute to increasing traffic congestion and air pollution, it has asked city officials to investigate the potential effect of Uber's growth on traffic and air quality in New York. "The facts clearly show that Uber is changing New York City's transportation ecosystem for the better," said Matthew Wing, Uber's spokesman in a statement, adding that it is not a surprise at all that the taxi industry wants to stop Uber's expansion.
However, it seems that there is no way to prevent Uber from growing even further, given that it holds a few important advantages over traditional taxis. For starters, Uber drivers are far better paid than yellow-cab drivers, so it threatens to steal drivers from taxi companies, in addition to their customers. Also, Uber is a more appealing transportation option for commuters than cabs, especially for younger passengers, allowing them to hail a ride through a mobile application and eliminating the need to pay in cash after the ride is over, which is much more convenient.
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