Of course when a substitute improves, some people will switch. However, the root cause is the declining quality and lack of improvements to the system that even gives a substitute the chance to compete.
I honestly don't understand how 100 years ago nyc was able to build an expansive subway system and today it takes decades to add a new station. I know it's a combination of land costs, labor costs, corruption, regulation, underground congestion (and that the original lines were built by private companies) but I still don't really understand the situation.