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Uber's Loss Exceeds $800 Million in Third Quarter on $1.7 Billion in Net Revenue (Bloomberg)

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ippei
1202 Rider Driver Guru
 Posted 5 years, 7 months ago

The loss mounts.  Does this answer the question on whether Uber's business model is sustainable?

December - $1.7B Loss
https://www.bloomberg.com/news/articles/2016-12-20/uber-s-loss-exceeds-800-million-in-third-quarter-on-1-7-billion-in-net-revenue

August - $1.2B Loss
https://www.bloomberg.com/news/articles/2016-08-25/uber-loses-at-least-1-2-billion-in-first-half-of-2016

Comments

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    chawes
    756 Rider Guru
     5 years ago

    They're trying to drive their competitors out of the market with predatory pricing. They think Lyft et al won't be able to keep up. Lyft in turn raises more money and dumps it into lowering their own fares and into new user incentives.

    End result is a bunch of investors losing a lot of money, until the industry gets out of this death spiral.

    There's no question the business model is sustainable. They're just trying to be shrewd for as long as possible.

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    TonyAlmeida
    1149 Rider
     5 years ago

    All about expansion  All growth for now.  Profits later.  They crushed those taxi medallions and companies.  Next is Lyft.

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    ippei
    OP 1202 Rider Driver Guru
     5 years ago

    Oh by the way, they have been reducing their fares.  Passengers cheer, drivers boo.  Is the competition that fierce in the rideshare market?  or is this Uber's plan to thwart their competition?

    ...but what about driver retainment? What about the competition in that area?

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    joeyj
    423 Rider Driver
     5 years ago

    Awesome, that means I made more money than uber this year.

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    SmittenKitten
    2096 Rider
     5 years ago

    I thought they were making a profit?