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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."
Few companies rival the dishonesty, misogyny and downright shadiness of Uber. The quicker they are gone and a better company can fill their shoe (Lyft perhaps?), the better.
Nothing of value will be lost.
SJWs are the new boogeyman. -Me
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.
If I were running Uber, I would have had it concentrate on an assortment of US cities that are friendly to open-market taxi service, rather than blowing its budget fighting City Hall in every monopoly city in the world. By being profitable and having the capital to treat its drivers well in the short term while getting ready for self-driving cars in the long term, it would eventually expand into monopoly cities because the customers would demand it.
Problem is that, unlike Amazon, which has huge barriers to entry (those warehouses cost money, and so do the schmoes who schlep the stock around inside), anyone can create a web app and let people post that they're looking to "share a ride from point A to point B". The drivers bear all the capital and running costs, as well as the legal risk.
"Transparent" is a shit show that trades on every stereotype going. A man in drag is NOT a transsexual.
Sure but my Uber account works in 20+ countries worldwide, I don't have to sign up for the local transit whatever. That's a huge plus. Not only that but sales people use uber religiously as they don't even need to expense their uber travel, they just charge it to the company card, that's a massive, massive boost. Uber and AirBnB are the largest business expenses in total number of line items for many companies these days. You can't auto-expense every single local transit app automatically, with uber comes that convenience. As someone traveling in Hawaii, California, Texas, London and Hungary it's really nice to be able to just open the app, plug in the location, and have someone drive you there without having to worry about the local currency, working out how to sign up for the service in Hungarian or Maltese or whatever. Step off the plane and GO. I don't care if it's 5% more, for the three days I'm going to be there, the cost difference just doesn't matter.
moox. for a new generation.
If they're still burning through money after all that then there is something seriously fucked up with their product idea and their business model. I won't miss them if they go under. More likely they'll try to do an IPO and pass the buck onto some other saps. The founds and 1st round of investors will take the money and run.