Mobility’s latest News #7
Here’s the latest weekly news about the sharing mobility industry.
The $1.4 Billion Transit Fund the U.S. Government Won’t Release
$1.4 billion were promised by the Federal Transit Administration to transit projects across the U.S, and have until now stayed unallocated. “From New York to Los Angeles, El Paso to Minneapolis, 17 rail and rapid bus projects are awaiting grants promised by the federal appropriations bill signed into law by Trump in March 2018.” Disputes, delays, uncertainity, consternation are only some of the effects of the FTA’s procedural slowdown.
Regulation of Ridehailing? NYC puts a limit on Uber and Lyft car licenses
The New York City Council has decided to cap the number of licenses for ride-hailing services such as Uber and Lyft for one year. This cap was part of a package of measures aimed at reducing traffic congestion, protecting the famous yellow taxis and increasing driver paychecks in the wake of the explosive growth of for-hire vehicles and a rash of suicides among New York’s “Yellow Cab” drivers who have seen their incomes fall.
Officials impound private cars offering share rides in Bangalore, India
Ride-sharing apps have gained importance India, allowing people to travel at a lower cost. Drivers do not need to have a commercial driver’s licence but can take a fee that is often lower than the regular taxi tariff. However, the Transport Department is cracking down on such services for violation of rules and has booked cases against vehicle owners. Officials said that these apps were misusing the concept of carpooling for commercial gains. There is a fine line between a group of people offering to share fuel cost to commute to a common location and making money out of carpooling services.
Uber still a long way from profit
As communicated last week, Uber as narrowed its wuarterly losses from the previous year, but is still a log way from being provitable. New services such as food delivery and freight hauling are being built up, new markets are being discovered and not profitable ones being left. “Uber’s net loss narrowed to $891 million in its second quarter ending June 30 from $1.1 billion a year earlier.” Legal battles, corporate candals and decisions like that by NYC (see above) embody huge risks.
E-Scooters as a sustainable mode of transport for distances below 5km are becoming popular. Startups are in the starting block, and have rolled out in several new cities. Potential is big, especially in urban centers where cars can be replaced by e-bikes and e-scooters. However, in many european cities, legal issues remain unresolved. Environments allowing E-Scooters and defining its framework are needed.
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