There are two sides to every story. Or, in this case, there are a lot of sides to the positive or negative impacts of ride-hailing services on the auto industry, public transportation, commuters, and the environment. Is it good for the environment? Will the auto industry suffer? Will public transportation go unneeded?
In Los Angeles, an Uber accident attorney is becoming a commodity for lawyers. These attorneys handle claims and lawsuits for people who used Uber and for drivers employed by the company as well. This only highlights the popularity of this ride-hailing service. Uber and Lyft, of course, are two of the first ones in the ride-hailing industry. They’ve changed the way people call for cabs. They’ve maximized smartphones and created a billion-dollar industry in less than a decade.
Over the next few years, analysts agreed that the ride-hailing industry would increase by about 20% per annum. In 2017, the industry was worth $51.3 billion. Imagine how big it will be by 2025.
On Travel and Commuter Behavior
There are not enough studies on how ride-hailing and -sharing services are affecting commuters. But a report from the University of California, Davis Institute of Transportation Studies shows that these ride-hailing services are worsening already congested highways and roads. A large portion of travelers and commuters are using these services instead of public transportation.
This means that people who used to walk, jog, or take a bus or the train to work are now sharing Uber rides with strangers. How can you judge them? It is more convenient to have a chauffeured car waiting for you when you exit your apartment building. You’ll be in your office in no time.
On the Auto Industry
The auto industry is concerned about what Uber and Lyft mean for car manufacturers. Are people no longer going to buy cars? Are they going to depend on these services for all their car rides? While there is a decline in the purchase of privately used cars, small business owners are investing in cars that can be used in their car-hailing services.
But not only are people buying cars for a potential side job as an Uber driver, but they are also driving these cars to the ground. There is a big chance that Uber drivers and car owners are going to purchase another vehicle in 10 years. They’ve already used their previous vehicles to the ground, earning more than what they paid for. Early studies suggest that owners will refresh their cars 10 times as often.
On the Environment
There are also concerns about what these ride-hailing services can do to the environment. The more people use these services, the more drivers are going to sign up for the job. Business owners are going to continue to invest in new vehicles because it makes a handsome profit. But if governments fail to regulate this emerging power industry, these new vehicles will pose a huge problem for the environment.
This industry has impacted people’s lives in terms of convenience, but it also affects the auto industry, commuter behavior, and the environment. It will pose a huge problem in the future as it continues its growth and dominance. But with the right regulations, society can harness the benefits of this new industry without harming the environment.