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Technology, regulation and disruption

One recurring theme in Brad Stone’s excellent The Upstarts is how technological assumptions encoded into legislation become focal points for conflicts with ‘disruptive’ companies. For instance, as loc 2348 illustrates, the novel dispatch system used by Uber complicated the distinction between taxis and livery cars:

Stressing that Uber cars were not hailed or even electronically hailed like taxis, the pair emphasized that Uber cars fit the legal definition of livery cars and were prearranged; it just so happened that the prearrangement occurred five minutes ahead of time instead of sixty.

But these distinctions also become ideologically loaded, with the antiquated assumptions effectively inviting us to sweep them away as part of our great disruptive project. This is something even Uber’s lawyers were moved by. From loc 2996:

She didn’t, pointing out that taxi regulations had been crafted decades before smartphones and internet ratings systems were invented. “I was personally always of the philosophy that the great companies, the PayPals of the world, don’t get scared by regulation,” she told me. “I never wanted to be the kind of lawyer that just said no.”