Part of the reason it is better is that the rides are subsidized which pays drivers more than otherwise and attracts more drivers (availability) while making driving a newer car possible (quality). For it to remain "better" prices would have to rise significantly which wouldn't work outside of a niche market. Worse still - if Uber loses riders and starts serving a niche again, availability will get worse as there will not be enough demand to keep that many drivers on the road.

Take a look at airlines for what a race to the bottom in transportation looks like. People in aggregate are often unwilling to pay a premium for better service and will choose cheaper tickets over amenities like in-flight meals or "free" checked luggage.