Why not make ride hailing services like Uber and Lyft buy virtual medallions?

Because it raises the cost of entering into the marketplace. With this medallion, Uber and Lyft would have to charge more.

It also still limits the marketplace.

Of course they could easily implement a medallion system.

But medallions are a bad idea in any city or market.

How would you like a medallion system for Chinese restaurants?

Or Italian restaurants?

Or running websites?

As long as a surplus of rides, restaurants, or running websites doesn't hurt the consumer, there is no need to introduce bureaucratic bloat into any marketplace with a medallion system.

At best they somewhat match demand. At worst they cause imbalanced marketplaces, slow down innovation, and cause secondary markets that are exposed to huge downside--like what we saw with the NYC taxi medallion system.

Uber and Lyft are taxi services. Period. The only reason they do not have to abide by the same regulations as taxi services is because they suck billions of dollars away from locally owned and operated taxi companies to large privately held corporations that make billions for hedge funds. That big money scares the crap out of municipal governments who routinely fold when threatened by Uber and Lyft with cutting off service if any regulations are imposed. Uber and Lyft would still make plenty of money if they were regulated like taxi services.

In NY, midtown is impassible because it is full of Uber drivers cruising around waiting for a call. There are so many Uber drivers on Manhattan that Uber drivers actually support the cap because there are not enough fares.

Why is this just about uber/lyft? What about all the other black car services in the city? I don't recall ever seeing a medallion on dial7 hood

If the market is demanding more black car/cabs on the street, more should be on the street, the market should drive this, not some unnecessary regulation and silly medallion system.

If traffic is the issue, F'KING CHARGE CONGESTION PRICING! The amount of personal cars with only a driver in this city is ridiculous and completely unnecessary.

If you need to go downtown jump on a subway, a citibike or even your own pedal assist e-bike. There needs to be more focus on these methods of transportation - less deferred maintenance on the subways, better bike infrastructure, better (any) police enforcement of people blocking bike lines and unsafe drivers... ticketing cyclists for safely going through T intersections while 15 feet away a truck sits double parked in a bike lane, unticketed is retarded.

>I had seen that Uber and Lyft had previously proposed giving $100 million to taxi cab medallions owners as they have totally disrupted the value of a medallion. The taxi medallion owners turned them down.

The medallions were worth a million dollars each, now they're worth a fifth of that. $100 million is enough to compensate 100 taxi drivers. It's nothing.

The tax drivers really got screwed here, I'm honestly surprised they're allowing lyft and uber and via and so on to operate in the city. In SF where these companies started things were a bit different, there are/were so few taxis and the service was so horrible (lying and abusive and refusing to take you places) that you couldn't rely on them, even as a tourist. But in Manhattan you could always find a taxi pretty easily and rely on them for your commute.

By the way whatever happened to the cars we called "gypsy cabs" back in the day? They used to be all over the place in Harlem, now I barely see them. They were sort of like the 90's version of lyft/uber I guess. Here's an article on them:

https://www.nytimes.com/1992/09/24/nyregion/gypsy-cabs-a-hard-chancy-life-on-the-side-streets-of-new-york.html

Precious Roy wrote:

In NY, midtown is impassible because it is full of Uber drivers cruising around waiting for a call.

I just pissed my pants laughing at this statement. Yes, remember back before Uber when Midtown streets were always so pleasant and traffic-free?

Who can recommend a good elite taxi service, where all business class cars are available.