[xocyabencl]

While Uber and Lyft raise prices in periods of high demand, they also subsidize rides in periods of low demand to keep a consistent quality of service. You'd have a hard time getting a network as reliable as Uber and Lyft without that subsidy.

[AntAF]

It's not uncommon to see Uber retain 75% of the fee collected these days. The subsidies are much lower and less frequent than you are probably expecting. In Los Angeles, you are talking about 1.1-2.0 subsidy on base rates in the same areas with base rates for the driver being .72/mi and .11/min.