Uber has defeated Bill de Blasio’s plan to rein them in
The thing about Uber I don’t understand is how they are going to defend their monopoly once they acquire it. Assuming they eventually win all the legal battles and drive all other taxi and taxi-like services out of business then how are they going to stop anyone else from entering their market?Each transport market is effectively isolated (you don’t hail a driver from SF to get around NYC). This means any new entrant can achieve critical mass in a market at a relatively low cost (especially if they start with small towns/cities). If Uber do manage to get to the point where they can start extracting monopoly profits they have no means of defending these markets other than competing on unit price. Consumers are going to win big time out of Uber, but I can’t see how their investors will (at least their long term investors). Someone far smarter than me must have answered this?