"Lyft cannot afford to pay its drivers a living wage, or it would “absorb enormous losses.”
This is a remarkable argument for a company to make about its own business model in a court filing. Essentially, it is describing the exact logic people have been using to warn that the other shoe will eventually drop on ride-hailing apps: it’s not a good business."
"The status quo Lyft is trying to restore can only exist because the company has received $4.9 billion in venture capital money over 18 funding rounds, according to Crunchbase, which goes towards directly subsidizing the actual cost of each ride."
@mcpaccard "The company’s corporate responsibility messaging—or, as Zimmer put it in an interview with Time in 2017, “We’re woke. Our community is woke, and the U.S. population is woke.”"
This is revolting. Interesting piece, thank you for sharing.
@mikael you are very welcome!
@mcpaccard So what does this mean for me as a newly diagnosed epileptic person if I can't get my seizures controlled? Lyft offers discount codes to epileptic customers, since we can't drive.
And public transit isn't an option, as there is no public transit in my area.
@MonolithImmortal I never said the transportation industry is 100% rotten. Its scale and its current mode of operation is. I wish that we could benefit from a service that does both: offer alternatives for epileptic persons AND pay their drivers a decent wage :)
@mcpaccard Sorry, I was asking a serious question. What does this mean in the near future for me if lyft goes under and I can't get discounted rides? Is lyft going under? What's going to happen here exactly?
@MonolithImmortal I can't answer this question more than you, sorry!
@mcpaccard That’s what people have difficulties to understand: most VCs are not betting on companies that will grow and stay up. They promise to LP they will make the best bet and multiply by 10 (by 10! Come one who can get that kind of performance?) their investment. This leads to insane business tactics like being *not* profitable to disrupt the market, be a monopoly and then try to suck as much value from that dominant position. But people can’t follow.. its gonna crash badly.
@mcpaccard so many unsustainable businesses are driven entirely through investor hype
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