[qgin]

Not even lower prices, but even to continue the current prices of Uber and Lyft (without burning VC cash), automation is needed. Even with the low pay for human drivers today, that's still too much for the prices charged by ride sharing to be sustainable.

[pnw]

The “burning VC cash” objection to Uber and Lyft is hardly relevant when they’ve both been public companies for three years or so.

[KaoruAoiShiho]

Nah current prices are sustainable. Self driving cars should get us 1/5th of the prices going forward imo.

[duped]

Based on what? Ride share companies don't absorb any of the cost of vehicle maintenance, insurance, or fuel. Drivers are subsidizing a significant amount of the capital costs of running a taxi business that isn't exactly reflected in prices.

Additionally there's the problem of the market tolerating current prices. Like gasoline, even if the cost comes down it doesn't mean price goes down. Profit margins will increase if the market can sustain current prices.

[KaoruAoiShiho]

> Based on what? Ride share companies don't absorb any of the cost of vehicle maintenance, insurance, or fuel. Drivers are subsidizing a significant amount of the capital costs of running a taxi business that isn't exactly reflected in prices.

Ultimately there's profit, drivers wouldn't do it if it weren't profitable.

> Additionally there's the problem of the market tolerating current prices. Like gasoline, even if the cost comes down it doesn't mean price goes down. Profit margins will increase if the market can sustain current prices.

I see a lot of competition in the space and the history of taxi services has been one of very low prices so I see the trend to continue in self driving.