Taxis are regulated. "competing services" are not. I will happily agree that the companies that operated within that regulatory framework were ossified and anticompetitive but that's an operational problem, not a structural one.
Your 10 minute 1am car is earning its driver $3.50 an hour and costing its company five billion a year. Yes, it's convenient but it also isn't steady - state. The argument here is that venture capitalists are underwriting a Dickensian lifestyle for the drivers and fucking up traffic for everyone else and should Uber's note holders decide they're sick of the experiment, we'll all be paying market rates once more.