A few years ago, a group of smart entrepreneurs and innovators came up with a revolutionary idea on providing an alternative transportation service to the traditional cab company—‘Ridesharing’. With ridesharing, private drivers have the freedom to provide rides wherever and whenever they want, while consumers have the luxury to explore the new service and compare the cost to taking a traditional cab.
This new service was an instant hit, with both drivers and consumers being able to enjoy a better (and often cheaper) transportation option than what was available. Two companies that have been leading the rideshare revolution, uberX and Lyft, have taken this model worldwide, expanding to over 40 U.S. markets and providing thousands of rides each year.
Normally this type of innovation is a cause for celebration, but instead the entire business model is in jeopardy. Fearing the competition, the entrenched taxi cab industry has been working tirelessly to shut ridesharing down. They are trying to shut the service down in New York City and San Francisco, and they were successful in stopping ridesharing in Seattle. Now they are trying to do the same in Arizona.
That is why the Free Enterprise Club is supporting HB 2262, legislation that will allow for ridesharing to continue in Arizona. HB 2262 sets up the regulatory structure to gurantee that ridesharing will continue in Arizona. The cab companies know this, and that is why they are pulling out all the stops to kill the bill (and with it, their competition).
The Free Enterprise Club urges the legislature embrace innovation and support HB 2262.