Well, duh ! They have an app that auctions the public parking space you are currently in - and you wait in it till the buyer arrives How did anyone expect that would remain ethical or legal? There are many ways technology could improve parking in SF but making private profits off public resources is not it.
Nature finds a way. The free market is the little green shoots growing up between the cracks of the grey statist utopian paved earth. Technology is allowing innovators to outpace the entitled dullards that inhabit the halls of political privilege. They'll shut this down, with all you fine citizens celebrating, but the innovators will route around it again.
Regulation at its core is a vital part of a free market (and by the way the only free part we really care about is freedom to set a price)
We regulate murder, kidnap, extortion and parking bye-laws. We do that so we can all move forward in a society packed full of other selfish Great Apes with weapons.
It works - we are living proof. It can always be improved, but almost always a market failure in the western world is down to some greedy bastard somewhere breaking the rules to obtain an advantage and not getting shutdown fast enough.