Executive Summary The Uber and Airbnb are companies that entirely depend on the internet to carry out business activities. The companies have grown from simple to complex online businesses that have a strong customer base. The two companies, alongside their competitors, have grown to more than 40 countries and offer very competitive prices. The Uber, Lyft, and SideCab offer ‘ridesharing’ services to customers across the US through the use of Smartphone technology. On the other hand, the Airbnb, HouseTrip, and Travelmob companies offer customers opportunity to rent out lodging from the comfort of their homes, offices, and any other place that has internet connectivity. The companies have advantages such as competitive prices, convenience, expansive market coverage, low operational costs, and variety of products. However, their internet model is a challenge to the traditional business model and government regulations since the online mode of operations are subject to challenges such as customer insecurity, vulnerability to abuse and manipulation, misrepresentation of products, and non-binding transactional relationship. As established in the research, companies stuck on the traditional business model oppose the two companies because of unsteady customer security and inconsistency in following government business regulations. However, the benefits of the internet platform are better than that of the traditional platform. In order to address the concerns raised, the paper recommends integration of a Secure Online Shopping System (SOSS) to guarantee customer security and consistent government regulations. Introduction Purpose or overview The purpose of this research paper is to establish the benefits of the internet business platform of the Uber and Airbnb, alongside their competitors such as Lyft, SideCab, HouseTrip, and Travelmob, to customers in the form of convenience, affordability, and diverse services. At the same time, the paper will establish the threats that the internet platform of the two companies poses to traditional business practices of their competitors and government regulation for customer protection. Specifically, the research will attempt to explicitly establish the scope of online business for the Uber, Lyft, SideCab, HouseTrip, Travelmob, and Airbnb, their method of business operation, the conveniences they guarantee customers, threats that their internet platform have on traditional business practices, and the fundamental consequences upon society and culture. Background or the problem The Uber and Airbnb companies have been very successful in their internet business models. Founded barely five years ago, the Uber Company has been very successful in expanding its customer base in the ridesharing service across the US and in more than 45 countries. Due to a large customer base and ability to serve many customers every day, the Smartphone technology-based ridesharing business has passed all the traditional taxi companies in the US and is currently valued at US$18.2 billion. Specifically, the UberX program, which targets all drivers across the US, has vigorously increased the company’s market segment. Since the overhead costs are low, the company has managed to offer very low prices (Uber, 2014). Besides, the lack of government regulations, the prices offered by the company cannot m