Uber expanding in the District

It's been days since Abinet Addissu started cabbing for Uber.

He's been driving a cab 12 years and hopes the service brings him additional customers during his down time.

Addissu has already picked up 10 extra passengers the past two days.

"This is a better alternative to a limousine," he says.

Until now. That's what Uber has offered: A black car service, typically pricier than a cab. But with its new taxi service, Uber looks to compete.

Rachel Holts runs Uber in D.C. She says the taxi service will work the same way. Customers open up the app on their phone, request the traditional Uber service or an Uber cab and pay through a credit card account stored in their phone.

No cash is exchanged. That's another reason Addissu signed up to drive for Uber.

"It a safer way of doing business especially at night," he says.

Addissu also takes comfort in knowing who he is picking up and where.

Uber officials say the company carefully picks out the drivers and the cars because they want to make sure the customer enjoys high quality service.

Jamal Simpson has never used Uber. He usually takes the Metro. But he thinks it's a good concept.

"Hopefully it'll be faster than catching a cab by waving your hand so and a lot more convenient it sounds like," Simpson says.

Uber says hundreds of Uber-ready taxis are out on the streets. Just in time for inauguration.