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Since they didn't provide any numbers, here's an analysis I did on this topic using estimates for LA: https://www.linkedin.com/pulse/how-cheap-can-uber-self-dri
by mdorazio 11y ago
Since they didn't provide any numbers, here's an analysis I did on this topic using estimates for LA: https://www.linkedin.com/pulse/how-cheap-can-uber-self-driving-ride-get-michael-dorazio https://www.linkedin.com/pulse/how-cheap-can-uber-self-drivi...
Uber can absolutely make money even if they own their own cars, provided the up-front cost of the cars is low enough. You can think of it like a high-use, low-distance rental car fleet - the same car economics down-sides apply to Hertz and Enterprise and yet they still make money.
- saturdaysaint 11y agoAnd as self-driving fleets take over and cease to be tied in to the driver's self-image, my guess is that the cars will look more like the $15,000 Toyota Yaris. I also imagine that as fleet owners gain greater control of design, they'll find ways to make maintenance easier and cheaper. Insurance should also get cheaper with fewer human drivers (and by the time automated cars are on the road, there will be a lot of cars with crash-mitigating technologies too).