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Companies like Uber live off solely from the "we have a large war chest of money to kill competition" moat model where any competition in some area can be kille
by est31 2y ago
Companies like Uber live off solely from the "we have a large war chest of money to kill competition" moat model where any competition in some area can be killed easily as long as you are much larger than them and can afford to lose money in the area they are active in: just offer lower prices until they are bankrupt, then raise them again.
This model has proven to work in places like retail. Literally how Amazon got big.
I think they are trying to use this strategy for AI as well, but at least right now there is so much competition and investment that it's tough to pull off.