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Good article on Uber's hype about flying cars.

Article Here

This writer gets it. Uber is just scamming the PR front for their IPO and trying to hide all their core issues. I wish more writers would look at Uber this way.

Here are some highlights:

About flying cars & Uber relation with NASA

This is the company that is going to produce flying taxis? Seriously? Uber has tried to add a gloss of respectability to this P.T. Barnum-esque bait-and-switch by announcing, again with great fanfare, that it is "partnering" with NASA to figure out a brand-new air traffic management for flying cars. All those flying taxis will need a way to avoid airborne collisions, so this part of the nation's infrastructure would need to be dramatically redesigned.

I called NASA to ask about the extent of this partnership. All the spokeswoman would confirm is that NASA has entered into a Space Act Agreement with Uber, and directed me to a list on the NASA website of such agreements. That list includes an estimate of the dollar value of this agreement - a whopping $376,000. That's peanuts, practically a rounding error for a government agency as large as NASA - or a company like Uber valued at tens of billions of dollars - and certainly not enough to overhaul air traffic management.

About Uber not making money

Uber has become stuck in a trap, using its venture capital funding to subsidize at least 50 percent of every ride to cut fares and try to gain a monopoly position that can drive the competition out of business. Uber has never figured out a way to introduce any new efficiencies that would allow this company to provide taxi service at lower fares and still earn a profit. Amazon, for example, was able to bring an efficiency to retail by getting rid of brick and mortar stores and sales clerks across the country through selling online. That allowed Amazon to leverage those savings to sell its products cheaper than the competition, yet still eventually reach profitability. What efficiency does Uber bring to the taxi industry? None significant enough to fundamentally disrupt the market realities of this industry. The ultimate irony: Uber is charging too little for each passenger ride, so the more customers use Uber, the greater is its operating deficit.
 

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Self driving cars are to uber like the roomba vacuum is to merry maids. Where is ubers leverage? People who have sdc will no longer call uber. Livery companies who are leaner and better equipped to handle their local market can compete better if they have sdcs. This sofbank deal in recent news is probably a pr stunt too. Softbank already invested in uber before. For the 50 billion that this fake news offer claims, one can start a new uber with a better name, better software, and be profitless for the next 20 years. Uber is not yet cooking the books if yoi discount the way they aggregate pool revenue at 100% of face value but one day they will collapse like an imploding star and their investors will be waiting in line on briges. That day will be when sdc's become available or likely sooner. The whole notion that a profitless company who loses 40% of gross revenue will one day be worth 50 billion borders on lunacy. Uber is a TAXI company on a global scale. The risks involved far outweigh any posible benefit.
 
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