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Discussion Starter · #1 ·
Interesting article. I really think Uber is fine on the independent contractor issue which this guy spends a lot of time on, but he does a fairly comprehensive job of discussing some of the other things that will doom them.

UBER IS DOOMED

http://jalopnik.com/uber-is-doomed-1792634203

After a discombobulated 2016, in which Uber burned through more than $2 billion, amid findings that rider fares only cover roughly 40 percent of a ride, with the remainder subsidized by venture capitalists, it's hard to imagine Kalanick could take the company public at its stunning current valuation of nearly $70 billion.

And now, in the past few weeks alone, Uber has been accused of having a workplace that fosters a culture of misogyny, accused of stealing from Google the blueprint of a successful self-driving system, and has lost 200,000 customers over ties to President Donald Trump and how it responded to a taxi driver boycott.

Yet even when those factors are removed, it's becoming more evident that Uber will collapse on its own. Barring a drastic shift in the company's business-an implausible rollout of self-driving car fleets across the U.S., an increase of fares by three-fold, or a complete monopolization of the taxi and ride-hailing markets-Uber's lifeline is shrinking. Its business model could collapse if one court case, and there are many, goes against it. Or perhaps more pressing, if it simply runs out of cash.
 

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I truly believe you've been down at the Dairy Queen eating dreamsicles again why don't you just simply quit and go to work for Walmart Tire Kingdom or Home Depot but of course you got to work their schedule don't forget that.
 

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Discussion Starter · #3 ·
Are you that guy that drives UberX in a Tesla? LOL!! No wonder you think the math works for Uber. No way you read that article in less than 60 seconds.
 

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Flunky -

As comprehensive an article about Uber's business model as we're ever likely to get. Thanks! Despite its gloomy title, the following quote gives me hope:

"Uber ... was using these massive [investor] subsidies to undercut the fares and provide more capacity than the competitors who had to cover 100 percent of their costs out of passenger fares..."

If the investors tire of taking a loss, there is a chance Uber will need to raise rates, at least to market value, just to placate them. I hope they choose that course of action.
 

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Discussion Starter · #6 ·
It may still be around but there is no way it's present form is substainable. Something has to give when you are losing $2 billion a year and the fare only covers 40 percent of a ride. Travis acting crazy is not going to inspire investor confidence either.

My hope is the investment money dries up and they have to raise rates to the actual market value.

Of course, my disdain for Uber could color my judgment much in the same way Uber is making fools of these people that are all starry-eyed about Uber.
 

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Discussion Starter · #8 ·
Why are you wasting your time trying to insult me? Do you buy into everything Uber?

I will take you at your word that you drive xl, but your two comments lead me to believe you are 23 years old and work in the Uber office. A wanna be Travis mini-me.
 
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