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What makes you think they are even trying to make a profit? Uber has investors willing to throw billions at them to spend on growth, why wouldn’t they take it?
by djakjxnanjak 7y ago
What makes you think they are even trying to make a profit? Uber has investors willing to throw billions at them to spend on growth, why wouldn’t they take it?
- bduerst 7y agoGoing public means a different strategy for the board. Up until this point Uber has been a hot investment ticket for VCs, and the existing investors have been incentivized to pump up the valuation to improve their position. This strategy involves self-driving cars and helicopters and edgy vaporware - basically creating these tactical hype moments for the Uber brand. Now with public investors, the hype strategy isn't sustainable and the board will need to turn a profit (eventually) or be ousted by public owners who don't want to see their shares in a company be destroyed.
- kopos 7y agoGoing public brings a different set wof eyes to the table and more scrutiny and lesser patience from the public. That’s why. The story of being a loss leader is not taken kindly