The Verge published an estimated 165 articles about Uber in 2016. To me, that seems low. So much Uber-related news happened this year, it boggles my mind: Lawsuits, self-driving cars, a new logo, new app, more lawsuits, new community guidelines, a murder spree, self-driving trucks, and finally, the first Uber gadget.
There’s no question which company won the ride-sharing wars — but at what cost?
In many ways, the company strengthened its stranglehold on the ride-sharing industry by making deals and releasing products at a furious pace, all with the purpose of remaining the most widely used transportation service on the planet. Lyft and other competitors stayed in the game, and will remain a prominent thorn in Uber’s side, but there’s no question which company won the ride-sharing wars.
But at what cost? Uber continued its furious pace of fundraising into 2016, at one point netting an insane $3.5 billion from Saudi Arabia’s main investment fund. How much of that money was incinerated in Uber’s ridiculously expensive cash-burning contest with Didi Chuxing in China? Hard to tell, but recent reports indicate the company was able to slow the bleeding by selling its Chinese business to Didi. Still, Uber is far from profitable. Turns out slashing prices to fuel one of the most rapid global expansion plans in history is a costly business.
Max Jeffrey
Uber also embraced its destiny as a transportation company, forging deals with carmakers like Nissan, Volvo, and Fiat Chrysler with an eye on its future self-driving ambitions. It launched limited automated rides in Pittsburgh (with the blessing of local officials) and San Francisco (sans blessing). And it acquired a number of startups, including self-driving truck company Otto, as it announced its intention to expand into freight. Oh, of course, a flying car project. Because why not?