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Respuestas recibidas sin formulario I - II- III

Respuestas recibidas sin formulario I - II- III

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In these two same sectors, do you believe that the new models should adapt to the current<br />

regulation (sectoral or horizontal), or do you consider it necessary to change the regulation<br />

in order to take into account all bu<strong>sin</strong>ess models? What do you think this change could<br />

consist of? (max. 4000 chars)<br />

The question of whether regulation should be adapted to new services, or new services should<br />

adapt to old regulation is arguably misplaced. Instead, it is of capital importance upon government<br />

to ensure that regulation is adapted to an updated appraisal of market failures in light of<br />

technology adoption. Where this appraisal changes, regulation should be adapted.<br />

Regulation should take into consideration technological evolution and the impact on market<br />

failures, reflecting the capacity for the competitive market to self-police. As a consequence, light<br />

regulation is needed for transport services that embrace new technologies that overcomes<br />

previous market failures, also in the case such technology is used by traditional taxi and VTC<br />

service providers.<br />

As a consequence, while the case of hailing may continue to require regulatory attention, for the<br />

rest of the taxi market, the VTCs and the TNCs:<br />

● Price regulation should not be applied when time and distance prices (and an estimated<br />

total fare) are presented clearly to users before reservation; especially when the service<br />

is requested via a technological application.<br />

● Quotas should not be applied to services where drivers are only offering their services<br />

through a technological application, as the application brings the needed efficiency in<br />

matching supply with demand.<br />

● Quality of service for vehicles and drivers could be considered, following the example<br />

of the United States.<br />

● Other restrictions particularly on VTC services, such as the requirement to have a<br />

physical office in town, to have a minimum number of vehicles, to have a minimum<br />

number of drivers and the requirement to contract the provision of VTC services in the<br />

physical office before the provision of the VTC service takes place should be excluded for<br />

all players.<br />

Uber believes that these key requirements should be established as a law.<br />

Uber understands that a level playing field should be ensured for all market players. It is not<br />

reasonable to automatically expand the existing regulations to new service providers who make<br />

use of new technology solutions that overcome market historic market failures. In any case, it<br />

might be reasonable to expand to new comers some existing requirements (quality of service). At<br />

the same time, some obligations on traditional providers could be lifted or at least amended to<br />

allow them to compete on equal foot (evolution from fix tariffs to maximum tariffs).<br />

The case for updating regulation is further strengthened by looking at the dynamics in the<br />

(technology-driven) marketplace:

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