What is the legal definition?
California's regulator describes TNCs as providing prearranged transportation services for compensation using an online-enabled application or platform to connect drivers using their personal vehicles with passengers. Other US states use similar wording in their own TNC laws.[1]
How is a TNC different from a taxi or limo company?
Taxis can usually be hailed in the street and are licensed by a city or county; limousine and charter-party carriers run commercial vehicles for pre-arranged trips. A TNC's drivers use their own cars, and only for app-booked trips.
Can a taxi company compete with TNCs?
Yes, on the things apps do badly: fixed prices that do not surge, account and school work, wheelchair-accessible vehicles and local phone bookings. A branded booking app closes the convenience gap. See how to compete with Uber.
Frequently asked questions
Is Uber a TNC?
In US regulation, yes: Uber and Lyft are licensed as TNCs in most states.
Is a TNC the same as private hire in the UK?
No. The UK has no TNC category; app operators such as Uber hold private hire operator licences from councils or TfL.
Sources
Fees and rules change. Each source is the official page we read, with the date we read it; check it before you apply or pay.
- [1] California Public Utilities Commission: Transportation Network Companies (read 8 Nov 2026)
