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Booking rides doesn’t cost them dollars. Whatever the customer pays, Uber skins a few bucks off of and sends the rest to the driver. The entire costs of providi
by valuearb 9y ago
Booking rides doesn’t cost them dollars. Whatever the customer pays, Uber skins a few bucks off of and sends the rest to the driver. The entire costs of providing the actual ride falls on the driver, Iber just pays the cost of their software platform, which again, is pennies per ride.
Ultimately drivers will make what the market will bear. If they don’t make enough, driver count will fall, Uber will raise rates to compensate, until equilibrium is reached. And the business will go on, every ride costing Uber a few cents to dispatch, and then still skimming a couple bucks from the amount paid the driver.
- TheCoelacanth 9y agoExcept that in markets they are trying to expand, they sometimes add a few bucks to what the customer pays instead of skimming a few bucks off.
- valuearb 9y agoYea, that's part of their "grow like hell" strategy. I'm guessing the new CEO is going to pull way back on that, given their massive lead.