Vetting disruptive technology’s uses

Unregulated accommodation services like Airbnb raise questions but also offer benefits worth keeping.

Airbnb is an example of disruptive technologies that are changing the game. Photo: Sarah Dea / The National

Finding a place to stay in the UAE, whether as a visitor or as a resident, is rarely an inexpensive experience, so it is no surprise that some people have resorted to ingenious ways to lower the cost. However, as The National reported yesterday, one of those is the website Airbnb.com, where people can rent out spare rooms or even entire villas, but which one property expert describes as being in a "grey area" legally.

The accommodation ranges from a bed in a shared room in Bur Dubai for Dh37 to luxurious villas on The Palm Jumeirah. Some of those who use the website to rent out multiple properties claim to be earning substantial sums of money – but none of those contacted admitted to being registered as an accommodation provider, risking fines of up to Dh100,000.

This kind of innovative solution is an example of what has been coined disruptive technologies that change traditional practices – often for the better – but in the process raise quandaries that had not previously been considered. The correct approach to such disruptive technologies is to be open minded about adopting them and reaping the benefits, unless there are compelling reasons not to do so.

In this case, using Airbnb to rent out entire apartments is sometimes done by tenants without the knowledge of the landlord. Such subletting is simply illegal and ought not be condoned. There are also cultural concerns about how accommodation sharing might work in the UAE.

But other aspects of this practice deserve to be considered so long as they retain the overall tenor of the intentions of existing regulations. In the case of people renting out rooms to tourists, there is a good reason for the authorities to regulate the market because tourism is earmarked as a significant growth industry as part of the diversification of the economy. Regulation helps ensure visitors enjoy safe, high-quality accommodation.

Are Airbnb and others like it beneficial to the UAE and do they comport to the original intent behind laws? That is a debate that needs to be had. Every novel, innovative development forces us to reconsider the status quo we live under.