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by kspaans 3410 days ago
It's Uber who loses money on those rides, not the drivers. They are trying to get you to use them, instead of the competition. If their strategy works then they can eventually start charging more because they'll be the only rideshare in town.
2 comments
digitalzombie 3410 days ago
> It's Uber who loses money on those rides, not the drivers.

If you want to view it that way then it's both drivers and Uber that's losing money.

I do Lyft on the side over summer as a poor grad student. I only have 3 pool ride and those three the passenger didn't have to share any ride with anybody and I made less than if those ride were not pool.

You're also implying that in the long ride Uber will win if it works as if the speculative end will justify the mean.

Which, personally, I think a flaw and weird way of seeing it.

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kspaans 3410 days ago
When Uber offers promotional discounts to first-time riders, does that discount come out of the driver's pay? I was just trying to say that what the customer pays and what the driver earns aren't always directly linked.

And you're putting words in my mouth. I didn't say the end justifies the means. I was speculating as to what Uber's goal is for subsidizing rides, rather than charging what they cost.

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newjobseeker 3410 days ago
I always have 2 others in my Uber Pool or Lyft line. Some Uber drivers have told me they make the money through trip bonuses and not so much on the fares themselves, they get a certain bonus when they get to a certain number of trips, but I can't imagine that would make up the difference.
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seanwilson 3410 days ago
> It's Uber who loses money on those rides, not the drivers. They are trying to get you to use them, instead of the competition.

Are there not laws against predatory pricing like this?

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jklein11 3410 days ago
IANAL and my expertise in this matter is only as deep as skimming these articles[1][2] but it seems like it would be illegal if Uber were a monopoly and cutting prices to prevent competition. Cutting prices to try to gain market share seems to be a competitive practice which benefits consumers.

1.https://www.ftc.gov/enforcement/anticompetitive-practices 2.https://www.ftc.gov/tips-advice/competition-guidance/guide-a...

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