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'Uber Is Doomed', Argues Transportation Reporter (jalopnik.com)
When an Uber self-driving car ran a red light last year, they blamed and suspended the car's driver, even though it was the car's software that malfunctioned, according to two former employees, ultimately causing Uber cars to run six different red lights. But technical issues may be only the beginning. An anonymous reader writes:
Jalopnik points out that in 2016 Uber "burned through more than $2 billion, amid findings that rider fares only cover roughly 40% of a ride, with the remainder subsidized by venture capitalists" (covering even less than the fares of government-subsidized mass transit systems). So despite Google's lawsuit and other recent bad publicity, "even when those factors are removed, it's becoming more evident that Uber will collapse on its own."
Their long analysis argues that the problems are already becoming apparent. "Uber, which didn't respond to questions from Jalopnik about its viability, recently paid $20 million to settle claims that it grossly misled how much drivers could earn on Craigslist ads. The company's explosive growth also fundamentally required it to begin offering subprime auto loans to prospective drivers without a vehicle."
Last month transportation industry analyst Hubert Horan calculated that Uber Global's losses have been "substantially greater than any venture capital-funded startup in history."
Their long analysis argues that the problems are already becoming apparent. "Uber, which didn't respond to questions from Jalopnik about its viability, recently paid $20 million to settle claims that it grossly misled how much drivers could earn on Craigslist ads. The company's explosive growth also fundamentally required it to begin offering subprime auto loans to prospective drivers without a vehicle."
Last month transportation industry analyst Hubert Horan calculated that Uber Global's losses have been "substantially greater than any venture capital-funded startup in history."
Uber is a taxi company, it made a name and got support by creating jobs and employing people. Their push to automatic cars destroys the very thing that made them popular to begin with. Uber isn't a car manufacturer, and not an automotive tech company. Any beating they get is well deserved at this point, because they put social engineering above society. The CEO should, but of course won't, be thrown out on their behind.
-The wise argue that there are few absolutes, the fool argues that there are no probabilities.
Good riddance!
It would be hard to find an example of a more despicable corporation (with a damn good product idea nonetheless).
Uber’s 10 Worst Actions—Threats, Lies, Sexism & Shady Business Deals
http://observer.com/2016/02/ub...
Anticompetitive and dishonest business practices against rivals.
Using their geolocation data to harassing and personally threaten journalists who didn't cover them favorably.
Exploiting workers, not only as contractors but by enticing them to enter into exploitative financial agreements.
Rampant corporate sexism and misogyn from the CEO on down.
It's not the app that eliminates these "annoying things", it's imposing a set of universal business conditions. Uber is trying to establish onerous universal business conditions on the basis that it makes deals with individual contractors, These aren't "deals" since there's an asymmetry of power and no actual negotiation and they aren't "individual contractors" in any rational labour jurisdiction. Uber's financial model may be hollow, but it's business administration model is also unsustainable if it has to be a worldwide employer.
There are models (such as franchising to established taxi operators) that would deliver the consumer advantages (with the possible exception of the subsidised price). And if Uber were really "just an app", the comparatively low cost of operating the IT infrastructure could be lost in the increased efficiency established firms could get from adopting it. However, Uber is actually a fantasy that a de facto monopoly of personal transport can be established just in time for the drivers to be eliminated in favour of autonomous vehicles. Fortunately, the money will run out way before this could ever happen, but there's nothing so mad as a man on a mission...