Breakingviews - Uber’s losses are nothing like young Amazon’s

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Breakingviews - Uber’s losses are nothing like young Amazon’s
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(Reuters Breakingviews) - Uber Technologies is no Amazon.com. Some of the ride-h...

Uber sign is seen on the outside of their Greenlight Hub in the Brooklyn borough of New York, U.S., April 12, 2019. REUTERS/Shannon Stapleton

Uber, led by Dara Khosrowshahi, is racking up tremendous losses. Its accumulated deficit since its founding in 2009 totaled $7.9 billion at the end of 2018. It estimates it lost another $1 billion in the first quarter this year. The hope is that subsidies to drivers and passengers help the company grow and dominate what could be a winner-take-most market. Once that happens, Uber will be able to raise prices and reduce incentives.

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