[msb-alumni] Uber Service Expands to Ann Arbor Ypsie Area

From: Steve <pipeguy920@xxxxxxxxx>
To: <msb-alumni@xxxxxxxxxxxxx>
Date: Wed, 23 Apr 2014 15:49:19 -0400
BlankFor at least Larry and Rob and Marcia, and I guess any others passing 
through A-Squared.
Steve
Class of '72

Uber ride service expands to Ann Arbor By JC Reindl Detroit Free Press 
Business Writer The fast-growing Uber ride service has expanded into its 
second Michigan metro area - Ann Arbor. San Francisco-based Uber 
Technologies announced the expansion this morning and an offer for two weeks 
of free rides for those who download its smartphone app. Uber arrived in 
Detroit in March 2013 and was followed last month by a competitor, Lyft . ¦ 
Tom Walsh: Uber Technologies brings touch-screen transit service to Detroit 
¦ Related: Another ride-share service to launch in Detroit Friday night The 
company, which operates in dozens of cities, runs a service similar to that 
of a taxicab but does not own a vehicle fleet and requires customers to 
summon Uber-affiliated drivers through cellphones. Uber often faces 
regulatory issues in the markets it enters because it contends that 
traditional taxi and limo laws shouldn't apply to its business. Uber says it 
functions more as a high-tech coordinator and middleman, similar to how 
travel websites connect passengers to jet planes. ¦ Related: Uber car 
service rolling into regulatory trouble in Detroit Uber charges riders by 
the mile and generally takes a 20% cut of the fare, with drivers keeping the 
rest. With the Ann Arbor expansion, Uber's service now extends west from 
Detroit to about 3 miles west of Ann Arbor. The coverage area also includes 
Ypsilanti. "We had overwhelming demand for expansion to Ann Arbor from 
residents, so it was the logical next step," Mike White, Uber's general 
manager in Detroit, wrote in an email today. Uber's operations violate city 
of Detroit and state of Michigan regulations concerning vehicles for hire. 
Its Detroit office was issued a cease-and-desist order in February by the 
city' law department, although it continues to operate. Uber is bringing to 
Ann Arbor its traditional Uber service that connects riders with 
professional and licensed chauffeurs of black sedans, as well as its cheaper 
and more controversial UberX service, which relies on everyday drivers who 
use personal vehicles and typically lack the chauffeur licenses and 
commercial-grade insurance that traditional taxicab drivers have. One Ann 
Arbor city councilman told the Free Press that he is anticipating trouble 
with Uber. "With Detroit issuing a cease and desist against the company, I 
wouldn't be surprised if we took that same kind of action," said Councilman 
Stephen Kunselman, who sits on the city's Taxicab Board. Kunselman said he 
believes it is important for public safety that drivers for hire register 
their identities. "We want to know who the drivers are of these vehicles 
that are picking up our residents and taking them to their destinations," he 
said. "Without that information then it becomes a dangerous situation. 
Uber's Ann Arbor rates for its UberX service - $2.80 base fare and $1.60 per 
mile - are nearly identical to its Detroit rates. White, the Uber manager, 
said the company has no immediate plans to expand elsewhere in Michigan. "We 
look to cities where there is opportunity to help provide a safe, reliable, 
convenient transportation solution for riders and contribute to economic 
development and increased earnings for drivers," he said in an email.
[msb-alumni] Uber Service Expands to Ann Arbor Ypsie Area

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