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wow, you're really attached to this narrative you have, to be so desperately reaching for a reason to discredit the impact of VC money on their operation. I thi
by newfoundglory 8y ago
wow, you're really attached to this narrative you have, to be so desperately reaching for a reason to discredit the impact of VC money on their operation. I think my previous comments have already said everything relevant about the breakdown of their marketing costs vs steady state marginal costs.
- xapata 8y ago> really attached to this narrative you have Oddly enough, I was thinking the same thing. You've asserted that they're ignoring cost in their pricing, but have provided no evidence for it. Uber and Lyft have claimed to be profitable in their biggest markets. Doesn't that suggest they set prices above marginal cost?
- newfoundglory 8y agoWow. They were apparently profitable for two minutes in 2016, might be what you're referring to? I haven't provided any evidence because I assumed you had access to the same real world information as I do, but if you don't have internet I can mail you some stuff.
- xapata 8y agoYou're confusing company aggregate profit for profit within each market.
- newfoundglory 8y agoNo, I'm referring to the US market. They have never been profitable overall but for a very brief period in 2016 they claimed that the US operation was profitable.
- xapata 8y agoHow about in NYC? Profitable there? I believe they announced that they were. In any case, even if they're not currently profitable, that may be because of capital expense, not operating costs. Until they go public, it's hard to know.