It would be even harder to start a new company in the face of Uber's already dominant market share AND legislators who won't allow another "upstart" to enter the market.

That makes no sense.

1. You are grossly overestimating regulatory threats to Uber. There's a reason it's attracting billions in investor financing while you twiddle your thumbs - smart people understand that Uber can actually benefit taxis in the long run. Already many Uber Black drivers own or work for small livery companies and will give you their card if you want a cheaper ride to the airport next time. They mostly use Uber to generate leads when they don't have other customers, have a viable business without Uber, and are sophisticated enough to negotiate business partnerships that work for them.

2. It's only hard to break Uber's market share if you aren't offering a superior product. But in this case you would be able to advertise that your drivers carry guns. If that's something consumers want then you'll crush Uber.