4 ms·
How is this a vulnerability? Shouldn't one expect something like a Pareto distribution to emerge here anyways?
by voldacar 8y ago
How is this a vulnerability?
Shouldn't one expect something like a Pareto distribution to emerge here anyways?
- payne92 8y agoIf any one of those 5 cities decides to regulate more aggressively, it could be an immediate, material negative hit to Uber. Pareto distributions are common in two-sided markets with geographic factors. BUT, when there's a reasonable possibility of extra regulation imposed at the regional level... that's a big risk.
- Shivetya 8y agoWell then, the real need is to determine if Uber's competitors suffer a similar issue or not.
- blakesterz 8y agoThe last line in the article answers that pretty well: "One thing the filing makes clear: It wouldn’t take a global movement to stress the company’s business model. A couple big-city mayors could do that all on their own. "
- kevin_thibedeau 8y agoTheir business model is unconstrained growth to funnel money into side projects. That can't persist forever. If they just stuck to their core business they could easily be profitable as taxi 2.0.
- pwinnski 8y agoIs the net cost of these "side projects" greater than the $1.8B Uber is losing? I'm missing that in the S-1 if so.
- empath75 8y agoit doesn't cost that much to pay off a mayor.
- qmanjamz 8y agoIt's not a vulnerability. It actually shows their revenue is pretty geographically diverse. You can't trust financial news from propaganda outlets like Slate because they only care about their agenda.