EDITORIAL: A cautious welcome for ride-sharing

Welcome to the brave new world of Uber.

The ride-sharing company introduced its service to Montana last week, bringing our rural state into step with major urban centers that have used this alternative to taxis for several years.

In case you aren’t tech-savvy, Uber is a location-based cellphone app that hooks up people who need a ride with private drivers who will take you to your destination. It’s basically an on-demand car service, and it competes directly with local taxi companies that are regulated by the state and municipality. Although the Montana Public Service voted to allow Uber to operate in the state, the agency has no other regulatory role. You basically are riding at your own risk in a personal relationship with the contracted Uber driver and to some extent the company itself.

While this is a handy service, it is also not much more than glorified hitchhiking. What exactly do we know about the person we are driving with?

A local taxi owner complains in a letter to the editor that he doesn’t think it’s fair that he has to pay fees and meet regulations that just don’t apply to Uber for providing exactly the same service. You can’t really disagree with that argument.

So yes, we are happy to see local residents have an opportunity to take advantage of the so-called “sharing economy,” but we are also wary of the potential for mischief. Nor should legitimate local businesses such as taxi services be forced out of business because of government favoritism.

Uber is not the first innovation in the transportation business, and it won’t be the last, but Montanans should be confident that inviting Uber into the state will not result in a monopoly that hurts our own homegrown local businesses.