App-Based Ride-Share Services Face New Scrutiny

Don’t bother using your smartphone to hail Uber or Lyft in tech-savvy Austin. Both companies have suspended service in the Texas capital after citizens voted on Saturday to impose new restrictions on the industry, including fingerprinting as part of background checks on drivers.

Lyft and Uber complained that the new regulations would be cost-prohibitive and decided to pull out of Austin. Now other cities are looking at similar rules, as we hear from ABC’s Jim Ryan.