So, to ask the question that Thiel has asked, is this a market that supports a monopoly, or is it going to be a consumer-favoring highly competitive scene?
> Thiel is also an investor in Airbnb– yet another darling of the sharing economy, valued at a “mere” $10 billion compared to Uber’s $18 billion. Unlike Uber and Lyft, Thiel argued, there is no obvious competitor to Airbnb. That in and of itself makes it a more valuable company because of the distraction and profit erosion that he describes throughout his book.
Thiel seems to think that it doesn't support a monopoly, and I'd tend to agree.
So, assuming that it's a competitive market, and Uber and Lyft repeatedly copy the features of one-another, I'm very curious to see what kind of profit margins and therefore valuations are supported.
For a competitive market, it seems like the gap between Lyft's $2.5bn and Uber's $41 is bound to be reduced, one way or the other.
So, to ask the question that Thiel has asked, is this a market that supports a monopoly, or is it going to be a consumer-favoring highly competitive scene?
> Thiel is also an investor in Airbnb– yet another darling of the sharing economy, valued at a “mere” $10 billion compared to Uber’s $18 billion. Unlike Uber and Lyft, Thiel argued, there is no obvious competitor to Airbnb. That in and of itself makes it a more valuable company because of the distraction and profit erosion that he describes throughout his book.
Thiel seems to think that it doesn't support a monopoly, and I'd tend to agree.
So, assuming that it's a competitive market, and Uber and Lyft repeatedly copy the features of one-another, I'm very curious to see what kind of profit margins and therefore valuations are supported.
For a competitive market, it seems like the gap between Lyft's $2.5bn and Uber's $41 is bound to be reduced, one way or the other.