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Can anyone explain why Lyft is not experiencing the same pain? I've always used them over Uber (not an investor in either, just a customer) and now as much as e

by warent 6y ago

Can anyone explain why Lyft is not experiencing the same pain? I've always used them over Uber (not an investor in either, just a customer) and now as much as ever Lyft just seems to be a smarter, more mature company.

filmgirlcw 6y ago
But they are? Lyft laid off 17% of its staff the other day, despite promising no layoffs weeks ago [1]. Lyft doesn’t have Uber’s exposure in other business sectors like food delivery or scooters (a sector it actually exited in November), and it doesn’t have Uber’s global business (for better or for worse — it could be better now but be worse if other parts of the world recover before the US), but I would hardly call it the “smarter, more mature company.” This sector is in trouble, period. Lyft is the smaller player. That could work to their advantage or not — but I would say both companies are experiencing the same pain and are equally troubled. [1]: https://www.businessinsider.com/laid-off-lyft-employees-describe-how-the-process-was-handled-2020-5 https://www.businessinsider.com/laid-off-lyft-employees-desc...
- ceras 6y ago
  Quick correction: Lyft continues to operate scooters (as well as bikeshare), e.g. see this recent program: https://www.lyft.com/blog/posts/LyftUp-Scooter-Critical-Workforce-Program https://www.lyft.com/blog/posts/LyftUp-Scooter-Critical-Work...
SilasX 6y ago
I thought Lyft's pain was pretty similar. They had about the same percentage layoffs: https://news.ycombinator.com/item?id=23020812 https://news.ycombinator.com/item?id=23020812 And reduced internship salaries: https://news.ycombinator.com/item?id=23047687 https://news.ycombinator.com/item?id=23047687 Although from searching the recent news it does look like they've seen some good news as well, like a share price rally after the Q1 report: https://news.ycombinator.com/item?id=23095844 https://news.ycombinator.com/item?id=23095844 So Lyft got hit hard, but probably less so because they have fewer quixotic sub-ventures than Uber.
- warent 6y ago
  I missed these. Thank you!
mxschumacher 6y ago
Given that Lyft doesn't have a food delivery business to rely on, this is pretty hard on them. Lyft doesn't have the huge ownership stakes in ride sharing services other countries that have to be adjusted at inopportune times. Probably best to compare income and cash flow statement for both companies and to take a look at capital structure.

by warent 6y ago

filmgirlcw 6y ago

But they are? Lyft laid off 17% of its staff the other day, despite promising no layoffs weeks ago [1]. Lyft doesn’t have Uber’s exposure in other business sectors like food delivery or scooters (a sector it actually exited in November), and it doesn’t have Uber’s global business (for better or for worse — it could be better now but be worse if other parts of the world recover before the US), but I would hardly call it the “smarter, more mature company.” This sector is in trouble, period. Lyft is the smaller player. That could work to their advantage or not — but I would say both companies are experiencing the same pain and are equally troubled. [1]: https://www.businessinsider.com/laid-off-lyft-employees-describe-how-the-process-was-handled-2020-5 https://www.businessinsider.com/laid-off-lyft-employees-desc...

ceras 6y ago
Quick correction: Lyft continues to operate scooters (as well as bikeshare), e.g. see this recent program: https://www.lyft.com/blog/posts/LyftUp-Scooter-Critical-Workforce-Program https://www.lyft.com/blog/posts/LyftUp-Scooter-Critical-Work...

SilasX 6y ago

I thought Lyft's pain was pretty similar. They had about the same percentage layoffs: https://news.ycombinator.com/item?id=23020812 https://news.ycombinator.com/item?id=23020812 And reduced internship salaries: https://news.ycombinator.com/item?id=23047687 https://news.ycombinator.com/item?id=23047687 Although from searching the recent news it does look like they've seen some good news as well, like a share price rally after the Q1 report: https://news.ycombinator.com/item?id=23095844 https://news.ycombinator.com/item?id=23095844 So Lyft got hit hard, but probably less so because they have fewer quixotic sub-ventures than Uber.

warent 6y ago
I missed these. Thank you!

mxschumacher 6y ago

Given that Lyft doesn't have a food delivery business to rely on, this is pretty hard on them. Lyft doesn't have the huge ownership stakes in ride sharing services other countries that have to be adjusted at inopportune times. Probably best to compare income and cash flow statement for both companies and to take a look at capital structure.