7. 【Spring Legalization】What's Next for Ride-Sharing?: The Japanese Model of Ride-Sharing and Why Uber Couldn't Enter the Market

■Flow of the Discussion

Ride-sharing will be partially legalized this spring.

There are mainly two types of ride-sharing: TNC-type and PHV-type.

TNC-type involves a platform managing drivers, with examples of platforms being Uber, Lyft, and Grab.

PHV-type is managed by the country, with drivers being regulated directly.

In some countries, ride-sharing was introduced in the early 2010s.

In Japan, taxi companies will manage ride-sharing drivers.

Ride-sharing has been considered equivalent to unlicensed taxis.

However, there are increasing instances of "taxi refugees," with people waiting over an hour to catch a taxi.

Many taxi drivers are in their 70s.

Partial legalization is planned for April, with full legalization expected by June.

Factors preventing Uber's entry into Japan include differing values; Japan progresses with reforms while adhering to rules, whereas Silicon Valley sometimes breaks the rules.

There was no demand for ride-sharing in Japan at the time.

Plus, the principles of Impact, Risk, Governance, and Sense-making were not fulfilled.

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■ Reference Material

・What is Ride-sharing?

https://jidounten-lab.com/u_rideshare-rule-japan

・Ride-sharing Legislation and Safety Measures in Other Countries

https://www8.cao.go.jp/kisei-kaikaku/kisei/meeting/wg/2310_05local/231106/local03_02.pdf

・The Potential of Ride-sharing, Limited Legalization from April 2024

https://business.ntt-east.co.jp/bizdrive/column/post_215.html

・Ride-sharing to be Legalized in April Next Year: The Japanese Model Managed by Taxi Companies

https://www.watch.impress.co.jp/docs/news/1555961.html

・Number of Uber Users

https://backlinko.com/uber-users

Ride-sharing Driver Recruitment

https://gojob.go.goinc.jp/rideshare

・Why Did Uber's Ride Service Fail in Japan?

https://coralcap.co/2021/04/why-uber-ride-failed-in-japan/

・Digital Agency note

https://digital-gov.note.jp/