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"In the same breath you complain that they don't pay their drivers enough and that their service is too expensive." You seem to present that as a contradiction
by code_duck 8y ago
"In the same breath you complain that they don't pay their drivers enough and that their service is too expensive."
You seem to present that as a contradiction, but the obvious conclusion is that the GP believes Uber keeps an unfair share of the ride fees.
Based on my vague internet research, it appears Uber keeps 20-25% plus various fees, like how credit card settlement charges work, which can add up to 40%+ for some rides.
- mlthoughts2018 8y agoAnd the amount Uber keeps has to go way up too, if Uber is to cease operating at multi-billon dollar per year losses to become profitable. Currently they only take 20-25% and the rest of the required income to meet operating expenses is subsidized by VC funding. And the losses are so large that it likely means both raising prices to riders and reducing the net payout to drivers at the same time.
- toomuchtodo 8y agoHence why Uber is unsustainable without VC dollars. As soon as driver pay goes down further and ride costs increase, their model falls over.