| Important point: while costing to the customer the same, if not more. The result? Uber operating at huge losses. The result of that? Well, austerity measures. You can already see the signs of Uber starting to clamp down and make their service worse and worse. Recommended pickup locations -> No longer door to door? Assigning next rides before the previous one has completed -> No longer "feeling like a baller" while your driver is fielding calls from other customers with you still in the car Wait times have been getting demonstrably worse all over Manhattan, probably elsewhere too General quality of car/driver has been in decline since Uber started, in part precisely because of their putting cabs out of business. What's your cab driver going to do when he decides it's not worth driving a cab anymore because of Uber? Duh, work for Uber. There's no comparison right now, but there will be soon. I'm never going to use Uber again except for business travel due to their nice tie-in with business accounts. Personal travel? Nope. In NYC I use Juno and elsewhere I'll use Lyft, Hailo, or any number of local alternatives. |
That is what it is, but the larger point I think it inspires, as does your post, is that I can't see how Uber can possibly claim that it's going to be able to generate some kind of monopoly profits from the whole endeavor.
Theoretically the whole point of all this insane fundraising and spending is that Uber will, one day, be in some dominant and unassailable position, and can raise prices. But that doesn't make any sense, they're increasingly making it clear that they have a commodity product at best. How they plan to defend that as a monopoly is a mystery.
And let's talk about self driving cars when there's at least one single car somewhere in the world that actually can drive itself somewhere without a driver present. Until that day, which is likely in the semi-distant future, we're talking about the economics and practical effects of an app based car and driver hailing service.
And lastly, it's probably worth noting the parent commenter posting multiple times in this thread defending the company actually works for Uber, and has a HN posting history almost entirely composed of defending the companies who pay him: https://www.linkedin.com/in/jasonbarone