They are making money and would continue to make money off the model where you charge the rider $x, then you pay the driver/ operator/ contractor $x-30%. Then you use that 30% to cover operations. A normal company would use the 30% to pay for operations, marketing, and finance/IT and would have a profit left over. In…

Exactly right, PA2SK. I have to assume that Michael Nunez is trying to provoke discussion and that he is not this ill-informed. To state that they are losing money because of the fees they share with the drivers is so inaccurate. The drivers own and maintain their own cars and Uber does not have the cost of manpower…

Those “subsidies” are very targeted and not that common anymore. In Phoenix, if an Uber driver gets a friend to join, he/she will receive a whopping $10 after the friend completes 50 rides in a month. The sign-up bonus is $0. This is hardly the reason they are bleeding money.