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I'm amazed that this article and most of the comments implicitly assume that Uber is succeeding, and therefore useful as a an example of a successful platform s
by b1daly 9y ago
I'm amazed that this article and most of the comments implicitly assume that Uber is succeeding, and therefore useful as a an example of a successful platform startup.
Uber seems to be failing badly so far, losing increasing amounts of money. The ridiculous corporate shenanigans Uber has been generating seem of a piece with a company that had massive investments, with expectations, and no clear path to profitability.
Here's a link to a page that has some detailed, and damning, critical analysis of Uber's prospects.
The gist of his argument is that Uber is gaining market share by substantially selling their product below cost. But they have not found some kind of magic solution to lowering the cost of providing their services by taking advantage of scale or network effects.
The author argues that Uber is actually a high cost provider, in comparison to traditional taxi services.
http://horanaviation.com/Uber.html http://horanaviation.com/Uber.html