Will Uber Finally Kill The Cab Industry With Its New Leasing Program?


Riots! Riots!

There's no denying that Uber is controversial. The ridesharing app has no fu**s to give when it comes to regulation, the cab industry, politicians-basically anyone who wants to slow the company's growth. Well, Uber could grow a hell of a lot faster thanks to a new program called Xchange Leasing. The program is meant to make it easier for folks to lease cars. Uber is rolling out the program in three California cities: San Francisco, Los Angeles and San Diego. It's also going to be coming to a few cities in Georgia and Maryland for whatever reason.

An Uber subsidiary, working with financing companies, makes it all happen. What's different from traditional leasing is that there are no early termination penalties, mileage is unlimited and there's regularly scheduled maintenance. Of course the idea is to get more UberX drivers on the road, hence the unlimited mileage and maintenance. A number of automakers are partnering with Uber and offering discounts. Those include: Nissan, GM, Toyota, Ford, Volkswagen, Hyundai and Chrysler. According to an example laid out by Fortune, the price paid to lease from Uber would be a bit higher than you'd normally pay. They estimated a 2013 Camry and Corolla would lease for $120 and $110 a week, respectively.

That's damn high but the reasoning is of course that drivers would offset the costs by working for Uber. Millennials love leasing cars and are all about tech so it will be interesting to see how this program goes. Our guess: Expect more angry taxi drivers and a riot or two.

Miguel Garcia Photography
Source Credits: fortune.com

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