This is actually pretty interesting, but still seems like more ceremony than cabs anywhere that is similar to Vegas in that they have designated pickup areas (I don't know where else this may apply).
One of my drivers told me there was some regulation coming down that would allow the cabs to be more competitive price wise with Uber (I think I paid maybe 10-20% more than the Uber on average I think). If that was the case I'm not sure what benefit fiddling with my phone would offer at all.
I guess the one good thing is it potentially keeps cab prices low there.