good evening. welcome to kqed newsroom, i'm thuy vu. you have probably read and seen stories, uber and lift have transformed the transportation eco system over five years. uber by far the biggest and continues to expand at break neck speed. now in 53 countries and more than 250 cities. and boasts 1 million ride a day. but all the growth has spurred controversy. privacy, safety, surge pricing and driver compensation have become hot button issues in the on dedemand ride service industry and put a dent in traditional taxi use in san francisco. over the past two years, according to the san francisco municipal transportation agency. from march of 2012 to july 2014, the number of taxi rides a month in the city plummeted by 65%. well, now taxi companies are jumping on the bandwagon. many are using the fly wheel app to dispatch cabs. joining me for analysis, chief product officer for fly wheel, susan shaheen, uc berkeley transportation sustainability center, michelle quinn, san jose mercury business news columnist. much attention on uber, valued at $40 billion. talk about, use it is facing. a litany of them. >> this company is, you can all most start to feel sorry for it. in the news every week. something happens. but, let's go through the list. it's -- last week there was a -- a terrorist attack in sydney, criticized for surge pricing at that moment. >> meaning they were charging more for a ride than they would normally charge. >> they acted as if afterward they corrected it refunded people. still, did not look good. why is the sydney terrorist attack, tied to uber. it happens. just uber's bad luck this year. then there was all these, use about privacy. company's really beefed up. the company was looking into people's personal datas. making it available. not protecting it the way they should. the second thing. and then there is -- complaints about -- the cities -- states, district attorneys are saying. are your drivers safe. vehicles insured. what is going on here. a lot of ways. uber has been around five years. this whole industry exploded in the time. >> there have been allegations of sexual assaults, by uber drivers, in, new delhi and alsoen boalso in boston. sexual assaults in various other cities too. i wanted to bring in sedgen council with fly wheel. you have an app that connects taxis with a passenger. uber private drivers using private vehicles. how -- how its your -- your system different in terms of, safety and background checks for drivers? >> there are 250,000 cabs in the united states. there are 2,000 cabs in san francisco. there are about 5,000 drivers in san francisco. every single driver goes through a fingerprint based background check. goes through the fbi list. and makes sure they don't have any record. we, as a company have decided to work only with regulated cabs an with license ed insured drivers. safety is part of our system. none of the drivers have any record on their system. when a passenger is getting into the cars. they're sure that there is, oversight and regulation with the drivers. as the a company we have made the choice. because there are basically three for us. one is safety. availability and convenience. one is price. you mention surge pricing. however, to surprise some one with it when it is raining or happens to be cloudy. we think it is price-gouging. >> uber will say they do request that you the passenger agree to that surge price. so it is not a complete, complete surprise. why does that happen? like an algorithm that kicks in? or picking spots and times of the day and being opportunistic, susan? >> my understanding it is algorit algorithm, based. supply and demand system. basic economics. when the judge pricing goes up. that calls more drivers in. the idea is to bring the supply and demand back into equilibrium. >> we should point out that we did invite uber to come on the program as well. they decloond our ined our requ. susan at the berkeley center, you focus on disruption and innovation. what kind of impact are on demand ride services having on the transportation eco system. >> a great question. something we are eager to answer. and it's a difficult -- question to answer. and part because we do have a large eco system of transportation choices. without data on what the systems are doing. it is difficult to analyze them. so, at uc berkeley we did conduct a study of the transportation network companies that, this spring. went into san francisco. hot spot locations. you know, you know, basically entertainment locations. we lacked at things to got a sense of what might be happening here on an exploratory base. so we were able to uncover some things. like, uber was indeed the market leader followed by lift and side car. we also saw that, about 40% of the trips would have been take be in taxi. 33% would have been take be in public transportation. we did find that 4% of the trips were being toed to connect to and from public transport. 20% of the trips -- actually took people from drinking and driving. so, that's a good societal, societal benefit. we did see about a 40% stated reduction in driving overall. >> so who are the people using the services? did you lack at that? >> yes, we did. what we found was that, probably not surprising to anybody on this panel, it's the millenials, 25-34-year-olds were representing well over 50% of the market share. well educated. up wardly mobile were the more dominant users of the system. followed by, individuals, you know, 10, 15 years older than them. >> did you look at who the drivers are? >> not in this particular study. so this was focused on the users of the system. >> i did want to ask you about the drivers as well. because they are -- contract workers. these, these services are gaining in popularity. are we creating a new normal here where there are a lot of contract workers who are working unperot tekted and deregulated industry? >> man not deregulated. but soon to be regulated may one day be regulated. what is happening with air b & b, new york, and here. where public policy questions are being asked. the thing from a entrepreneur, semientrepreneurial perspective. i have a room. why not rent it. car i don't use. i have time on my hand. in a way, what i feel. uber, side car. lift. >> air b & b. >> air b & b. let's combine capacity. extra resources. and -- and, demand. you can't say that people, you know, given how well air b & b and uber have been doing. you can't say demand and supply were being served. they were not. >> and, what are -- what are the risks though? clearly there is a need. but, what are the risks? this is new territory for a lot of cities and states. >> i think as michelle said. pooling of resources. however, there are certain kinds of jobs that need more regulation and overseeing the than others do. if you are putting the human being behind the wheel of a motor vehicle. that comes with responsibility. responsibility for the person in the back seat. responsibility for the community at large. and what we feel very strongly about its that those checks should be in place. which is why we have taken the approach that we have taken. and they're hoping that our competitors, the industry will move to that. because we do have to care about it. >> what do you think of uber? about their tactics, viewed as very aggressive. they drop into cities without checking in with lawmaker. do you view them as competitors, or complement each other? >> we see them as competitors. end of the day our job and their job is to bring people point a to point b. we cannot condone their take its, having said that i will say, uber is one of the best things that happened to the taxi industry. let's talk taxi industry. we are big fans of the taxi industry. work with the faxy co ytaxi com. the only thing the taxi companies have had missing is technology. and, you need technology to provide user convenience. ened of d ened -- end of the day. it is end user. need the car. point a, point b. they need the car. and want it to be seamless. they showed taxi company. you need to do that. you will lose customers. we were right place, right time. we were working the taxi companies. there was demand to provide mobile for users. that's what we are doing. you stated. a stat from where there was a drop. i want people to understand. a drop in dispatch rides. people picking up calling 1-800, their favorite cap. that its the drop. however, any mobile based ride have been growing. we have grown tenfold in 15 months. >> do want to point out. uber is borrowing a page from your playbook. in that they have said this week they will research using biometrics and voice verification to do background checks on drivers. i want to wrap up the conversation by quickly talking about the sharing economy in general. where are we headed with this? because it is varies depending on what city, state. what the laws are, how much tax do's you pay? where do you see this goinging? >> well, i mean to uber's credit. if they knocked on the door and asked, please let us set up a service here they would run into, they said, we'll run into red tape. bureaucratic delays. just going in started a conversation and tension. same with air b & b. you go in create the platform. but of the problem is, that if you just create the platform and say we didn't have any responsibility here, very much, then it is very hard for any sort of accountability. >> it is an evolution that, that we will probably hear much more about in 2015 as well. thank you, thaul. michelle quinn, for the san jose mercury news, flywheel, and susan shaheen, uc berkeley. thank you. >> well, coming up. how technology is shaping our future with film maker tiffany shlain. first, we are in the middle of open enrollment, marketplace covered california, aims to enroll 1.7 million more people by end of february. that would be half a million more than the number enrolled last year. scott shafer sat down with, kqed's lisa ellafaris. >> welcome. >> good to be here, scott. >> we are a month into the open period. how's it going? >> ended monday. 144,000 new people have signed up. cover california is driving to enroll half a million people. >> the people who will re-up plus new ones. >> a want the 1.2 million who aren to en tn in to renew. many are presumably renewed. they have until sunday to do so. >> what happens if they miss the deadline? >> if they let their coverage lapse. they will be welcomed back with open arms. they have to reapply. a little bit easier to just renew. >> get. so it seems like, just last month that well were reporting on the disaster that was the rollout of obama care in the federal website specially. . take us back, over the past year. what happened. where did it leave us. the rollout did dominate headlines. the rollout here was much smoother. cover california had an initial conservative goal of enrolling 560,000 people. they more than doubled that by end of open enrollment. there were misstep as long the way. certainly there were glitches on the website. there were long waits on the call center. outreach to latinos was flawed. and cover california changed course in january after it was -- really criticized. and ended up with pretty strong enrollment from latinos. >> latinos a big portion of the uninsured in california. >> 60%. >> great desire to reach them. >> very good. >> so that's great. but all is not well on the horizon. a big storm cloud in washington. take of a challenge. affordable care act. and this case and this state. >> this case is about subsidies. one of the linchpins of accessing health insurance. the affordable care act has a lean that says, subsidies are only available to people in staelt run e state run exchanges. the challenges that the people in the three dozen staetes, should not be receiving subsidies. >> so it would not ok oknock oue subsidies and destablize the market? >> that's the assumption. california in theory could still stand. if you have people in three dozen states. if you have people without access to subsidies. >> california could fix it if they wanted to. >> congress, would step in. and, all -- >> all we well. >> everybody will be singing. last time of course, chief justice, john roberts, upheld the affordable care act, by a 5-4 vote. a lot on him, upholding this part as well. >> a lot at stake. >> one thang that wing in the lg undocumented immigrants from accessing any of the exchanges. but there is a move afoot in california to change that. >> that bill is introduced last year as well. it did not get very far. did not indicate funding to provide access to undocumented immigrants. reintroduced by a southern california senator. and the, there is, strong legislative support. it would create. expand medical to undocumented immigrants. and it would -- create a mirror exchange so undocumented immigrants could access subsidies. all state financed. wait fug see what the proposal is on how to fund that. >> no word on what governor brown thinks about that. as it gets to his desk. he has been silent. >> governor brown, he as we know. doesn't like to approve -- new spending without a clear funding source. >> clearly frugal indeed. >> so, lisa when all is said and done. i roolize well are still in the middle of the game a little bit. what impact has affordable care act had, on health care, on the health system here in california. >> between the medical, coverage california. 3 million people signed up. not all have previously been uninsured. the majority in likely had have gained insurance. national survey shows 60% of people who have -- who have access to health insurance now have used that insurance. of the 60% say they would not have been able to access that health care, see a doctor, fill a prescription. go to the hospital. would not have been able to afford it without the insurance. so making a difference. >> so, none of the big critics, fears have come true is that fair to say in terms of rising costs or that sort of thing? >> the increase in pref ymiums s year, in california. average was 4%. so, for the moment, we're in this period where -- it's still early days. >> all right. lisa ellafarris editor of the "state of health blog." >> tiffany shlain made a name for herself in high tech culture as founder of the webby awards, she has been on the scene. writer, public speaker, filmmaker, wife, mother to her resume. her latest project, the future starts here, is an aol on-line series that explores the positive and negative impact of technology on our lives. and ways to manage it. the second season of the emmy nominated series is currently on aol. i sat down with shlain earlier. first a clip from the future starts here. >> i love thinking about this kind of stuff. you know who else loves thinking about this kind of stuff. my husband ken. he is a professor of robotics. >> hey. >> hey. >> ken, what is this all about? why are we creating technologies that are more and more creepy? >> as they become sophisticated. it triggers a human reflex. we know it is not human. it is too close. >> which is uncomfortable and kind of creepy. >> exactly. there is a word for this, they call it the uncanny. >> the uncanny. >> not just technology to trigger this reflex. all sorts of things that are close to being human but aren't. like wax figures, robots. zombies. >> our body's response warns you, pay extra attention. this might not be what it seems. tiffany, welcome to the program. you embrace the internet. technology early on. started the webby awards. 18 years ago when you were in your 20s. how has technology changed our lives? >> oh it changed absolutely every facet of our lives. you know, i am interested in the space, i wrestle with it. i mean i love i and i hate it. and i am constantly in that space of -- looking at the good, the bad and potential of technology. it has changed everything. >> what is the good? what is the bad? >> well, you know, the bad is that everyone is so incredibly distracted all the time. and they're -- they're amping up their brain all the time to degree that, my family and i -- we're on our fifth year of doing what we call technology shabatz, turn off all screens for a day. that's my family. that's the bad part. we need a day having a family day. no one is trying to get any one off of a screen. >> huh how has that worked out? have your kids protested? >> the best thing i have done. when i was growing up in the 70s. everyone said tell vegs wevisio going to destroy our brain. i believe in humans. for a lot of films for the series. i look to go through history a long time ago. remind us we have had disruptive technologies before. at first we get really obsessed. we lose our perspective. boundaries and do it too much. then we pull back. so, i think -- i want to invite people to be, to have a conversation with themselves and their families and their partners and friends. about, you know what's the good? what's the, what's something i should stop doing? what is it allowing me to do? but i am not -- i'm not in a big picture worried that the world is going in a bad direction. i think technology is incredibly, probably the most empowering tool we have ever created. the key is we created and need more a jance how in we use it. >> in your on line series for aol, the future starts here. covers that among many other topics. but one of the episodes talks about building guidelines and fitters around technology as parents. we have a clip from that episode. i want to show right now. >> so, ken and i decided to, trust our daughter. and we got her a phone. only one that texts and calls. still a phone. and we do a lot of research. and put everything down in a contract. all of our anxieties and our hopes. all the good, all of the potential. all the bad. all the ways to use it responsibly. and mindfully. and we had a conversation with her. and -- this part was, unexpected, was just the process of a, writing, discussing it with her. was that it was really empowering for all of us. >> i like that feathery pen by the way. very official. >> well, what advice do you have for parents who are wondering about what types of limits to set around technology for their kids? >> i think being thoughtful and taking the best of what speak to you and doing a can tract with your child is, is a really good thing to do. just like, this is what we expect. this is how we hope you use it. this is how we hope you don't use it. i think looking at it as a living document, a point of discussion the it has been helpful to have that initial contract we get to reference. >> let's talk about schools. and, well there is a lot of concern among teachers who say, students constant use of smartphones, computer, video games, it's really hampering their attention spans and their ability to work through complicated problems they're used to getting an instant answer on google for example. how should we as a society address this? >> well one of the episodes in the new season is called a case for dreaming. it explores the neuroscience of daydreaming. and how, much creativity comes from when you are just, not in front of a screen. and you are making, connections to, in your own brain. and so i am a big proponent of day dreaming. but the reality is, we are living in the 21st century. everyone has screensen fro ein f them. there are so many environments great to use. films. research. then times when you need to do hand on interactive that involve no screens. and i think it is a balance. i mean that's what i feel look in all of the situations. i don't think, you know, eye can tact will always be important for human. for relationships. for, for making a connection with someone else. and for understanding information. so, i ultimately believe that we are just, we are in a really kind of turbulent period with so much. and we just need to be mindful on how we use it. >> a brave new world. we'll see where it all leads. i know you will be keeping track of it. tiffany, thank you so much. >> thank you for having me. joining me for a look at other news, scott shafer. hi. >> monday, governor brown's latest nominee for the state supreme court will have a confirmation hearing. she got good news this week. >> leanda krueger her name. found exceptionally well qualified by the state bar, evaluates judicial nm knominees. smooths the way. a three person panel. a panel friendly to governor brown. would have taken a shock by the state panel. state bar panel to upend her nomination. she looks good now. >> controversy though. a little bit with. at the federal level. with the department of justice. in the obama administration. has lived in california for 20 years. >> exactly. one of the out of the blue. out of the box. nominations by the governor. and she is very well qualified. as far as everyone can tell. she argued 12 cases before the u.s. supreme court. so she is, really legal eagle. but there were people including willie brown who wondered allowed. there were no african-american judges. no black lawyers in california. who were qualified. but you know that's classic jerry brown. just to do something that no one expected him to do and peck ho out of nowhere. >> want to bring it back to san francisco. the city unveiled the bid for the 2024 summer olympics. what stands out about this bid? >> couple things. one it is frugal saying $4.5 billion. compare that to $44 billion china spent on summer games 2008. bay area bid. not just san francisco. the warriors arena. looking ahead to that. san jose. berkeley. and a brand new facility. temporary facility in brisbane. >> want to talk the bay bridge. it would of course be crucial transportation system if the olympics come here to town. the new eastern span has been criticized for faulty engineering and bolts. but this week, official study contradicted that. >> yeah, a state study. looked at, the chronicle and the bee were really doing very difficult investigative reports. rust in places. the state report. said, no it is pretty safe. the vast majority of the bolts are fine. need to be maintained. keep a look after it. but it is come plotly sacomplet. don't think that's the final world. that tea this week. >> this week. stay tuned. >> thank you, scott. for all of, kqed news. go to kqed.org. >> i'm scott shafer. and i'm thuy vu. have a great night and a great holiday season. ♪ ♪ ♪ it's all right, it's okay ♪ ♪ doesn't really matter if you're old and gray ♪ ♪ it's all right, i say it's okay ♪ ♪ listen to what i say ♪ it's all right, doing fine ♪ ♪ doesn't really matter if the sun don't shine ♪ ♪ it's all right, i say it's okay ♪ ♪ we're gettin' to the end of the day ♪ why's strickland called us in so bleedin' early? i don't know. esther didn't even have time to do me a proper breakfast. you don't think he's leaving as well, do you? i reckon he's found somebody, somebody to replace jack. well, i knew it. they've got some nobody that we've never heard of and they're just going to parachute him in. or her? huh? morning. morning. sorry to call you in at this hour. it's just that something landed on my desk late last night and i need to act on it now. it's a possible new case.

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