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If I understood the Reuters article correctly, Uber made $3.4 billion and therefore lost $4.1 billion in the first quarter of 2017. Can someone help me underst
by bo1024 9y ago
If I understood the Reuters article correctly, Uber made $3.4 billion and therefore lost $4.1 billion in the first quarter of 2017.
Can someone help me understand what Uber spends $4.1 billion dollars on in 3 months? Is it because they're subsidizing rides by that much on average? (i.e. paying drivers more than riders pay)
- BurningFrog 9y agoThey're paying drivers 70% of the fare, so no. It's a very good question. They must burn a lot of money on developing self driving cars and other research. But can it really be this much?
- imjk 9y agoAdvertising and expanding around the globe would be a good place to start. It's not cheap to find/put top-notch staff on the other side of the world to expand a business, open offices, recruit drivers and customers, etc.
- deleted 9y ago[deleted]
- freyr 9y agoAcquisitions? Lobbying? An acquaintance started a mapping company, and Uber snatched it up almost overnight. Although I expect a lot was paid in stock, which isn't included in these losses.
- wodenokoto 9y agoIt is very different from country to country how they do stuff. When they where in China they heavily subsidized rides, paying drives more than the entire fare, sometimes.