I think Uber doesn’t know which way to go (no pun intended). It has an identity crisis on its hands: it provides value over traditional alternatives, but with tech-company overheads. But it doesn’t deserve tech-company valuations because it’s not as scalable — it’s tied to operating in the physical world, with physical constraints.

When thinking about Uber’s sustainability, there will be an equilibrium where higher prices cater to a narrower market.

A related question is – has any tech company ever scaled down their engineering team (after primary development was complete) and focused on profitability, to wean themselves off investor cash?