> the market can only support one or the other.
If one entity provides added value for added price it can compete with other, cheaper "budget" entities. That's why Taxis co-existed with more expensive limo service since forever.
>complete lack of regulation
B.S. and you know it. Uber drivers follow the same rules of the road as every other driver on the road. To level the playing field, the outdated and irrelevant rules applicable to the taxi companies should be repealed, not enforced.
> I don't believe the entertainment industry should offer their products for free because there is illegal downloading, do you?
Good example. The entertainment industry is like most industries where I don't need anybody's permission to enter. I can buy a video camera, shoot a movie and try to sell it just like anybody else. 20CenturyFox will not whine and cry that I am stepping on their "industry". Taxis think they are special and get to corner the market. Well, not anymore.