this post was submitted on 21 Aug 2023
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Taxi companies need to own the car, pay for maintenance, pay wages for the driver, insurance, etc.
Ride-sharing apps offload all of the taxi-company maintenance overhead costs to the gig-driver while only paying about 50% of the fare.
But competition. If there's another app that pays out 80%, it will have more drivers and be cheaper.
That being said, I still only know about Uber and Lyft (here in Canada). Now car sharing and electric scooter sharing has become more popular in my city