• Disruption: $10 Billion Just Went POOF!

    By Dave Pagenkopf

    Once again we hear how technology is disrupting an established business franchise. Here is the story:

    In many cities throughout the US, taxi companies are required to have a permit or license from their local municipality to operate. The original motivation was to protect passengers and level the playing field by imposing the same liability insurance requirements and minimum safety standards on all operators. As taxi companies saturated some cities, no more permits were issued (much like the limit on the total number of liquor licenses a city may issue.) In NYC, these permit medallions are scarce and expensive. In 2014, a NYC taxi medallion sold for over $1 million.

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