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I see what you mean, but I think the problem is kind of self-referential: Uber has this value (as a ride-sharing company) because the bulls believe that it some

I see what you mean, but I think the problem is kind of self-referential: Uber has this value (as a ride-sharing company) because the bulls believe that it sometimes will be highly profitable and can defend it's position. If Tesla can take on Uber, Uber did not defend it's position, and much of that value will go away. Not sure there would be 10s of billions left. How many people are there that Tesla could defend it's position in that market, if uber couldn't against Tesla? Or in other words: Those people who value Tesla higher because of their ride-share potential, should at the same time rate Uber lower.

martythemaniak 8y ago
That's right, although what position you take on the market also depends on what you're after. To go all-in on Tesla, you have to believe that LIDAR is a crutch and that Level 4 autonomy is possible with primarily visual sensors. Or maybe you're not so sure and want something safer / lower return. In that case, you'd buy into both of them, say 50-50. If one goes bust, but the other goes 5x, you're still good. In reality, you can't buy into Uber, so it's largely theoretical. Also, Waymo and GM are vying for the same market and they all have different strategies - ie Alphanet will finance Waymo's fleet with Google's earnings, while Tesla will finance theirs with their customer's money (and share the profits). Hard to say what will happen.