UberX is easier and cheaper than a taxi when you normally take public transit but don't want to this time (or want to expedite an inconvenient first/last mile.)
Uber proper is priced for people who are used to driving their BMWs or hiring limousines but don't want to this time.
I assume they realized that the former is a larger (and currently underserved) customer base.
> Uber proper is priced for people who are used to driving their BMWs or hiring limousines but don't want to this time.
I've taken a few black cars not because I'm into limousines that much, but because of airport regulations, and the ride is typically within the range of the cab. Cab drivers in the US also expect to be tipped in 10-20% range, which leaves Uber black car service frequently a winner price-wise.
Uber proper is priced for people who are used to driving their BMWs or hiring limousines but don't want to this time.
I assume they realized that the former is a larger (and currently underserved) customer base.