No Fare! Is Uber Helping Crush LA’s Taxi Business?

LOS ANGELES (CBSLA.com) A new study suggests Uber and other ride-share companies are killing the taxi industry in Los Angeles.

As KCAL9’s Erica Nochlin reports, the numbers prove it.

Mike Fitzpatrick is literally steps from a taxi zone just off Hollywood Boulevard.

He’s in front of the Roosevelt Hotel — and he’s staying right there instead of calling the taxi over.

Instead, he’s calling Uber.

“Cabs are bit like newspapers, they’re a bit last century,” Fitzpatrick says.

Nochlin was told pretty much the same thing — time and time again.

“Which service do you prefer?,” she asked.

“Definitely Uber over taxis,” said one man.

“Uber. All the way,” said one woman.

The latest city eport compares 2012 — before Uber and Lyft came along — with 2015.

She asked one woman when was the last time she took a taxi?

“Probably about three years ago,” she said.

The city report found a nearly 30 percent decrease in LA taxicab trips overall. From downtown and Hollywood there was a 44 percent drop.

The only positive sign for cabs in the report? At LAX there was a 45 percent increase in taxi rides.

But even that was before Lyft and Uber came along and got clearances to pick up passengers at airports.

The city is encouraging cab companies to become more technology friendly – trying to level out the playing field. Some cab companies are using apps like Curb – where you can request a ride, and in some cases, pay in the app.

Read more and see the video at CBSLA.com.

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