UBER: From Ride-Hailing to Autonomous Driving - Which Direction in the Future?

In a 2019 article, the Economist predicted that Uber would never be profitable. The article "Can Uber Ever Be Profitable?" outlined the main challenges:

"The problem is, as competition increases, ride-hailing becomes a commodity business. Customers don't care much whether they take Uber or Lyft, as long as the car takes them from point A to point B. That means neither can increase profits by raising prices; instead, prices may even have to decrease.

On the other hand, ride-hailing companies don't own the cars: their drivers do, and therefore there's no reason for drivers to be loyal. That forces companies to offer many incentives to prevent drivers from leaving, pushing profits even lower."

Finally, after 5 years, the "go anywhere or deliver anything" app has achieved sufficient scale to become profitable.

Currently, Uber is transitioning from the "self-funded" phase to the "business leverage" phase.

The number of autonomous vehicle trips has increased 6-fold and may play an important role in the future. This article will discuss the differences in long-term vision between Uber and Tesla and Waymo:

• Introduction to Uber

• Autonomous Vehicles - The Future of the Ride-Hailing and Delivery Market

• Uber's Q2 FY24 business results

• Key Quotes from the Q2 Earnings Release Meeting

• Future Outlook

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