The market had already set the cost of a private ride long before Uber: cabs. Uber has taken a huge market share by subsidizing their passengers with investor m

The market had already set the cost of a private ride long before Uber: cabs. Uber has taken a huge market share by subsidizing their passengers with investor money, undercutting the cost of traditional cabs. One could argue that Uber is more efficient, higher quality, has a better UX, etc., but in the long run the cost passengers have to pay for a private ride with a human driver will return to yellow cab levels. Drivers need to eat. The key phrase there is human driver. It's no secret that Uber is betting on autonomous rides in the near future, which completely changes the economics of ride hailing. It looks likely that they will be able to limp across that finish line with their dismal human driver financials, into the world of real automation profitability.