Dissecting what Lyfts IPO means for Uber and the future of mobility

Extra Crunch offers members the opportunity to tune into conference calls led and moderated by the TechCrunch writers you read every day. This week, TechCrunchs Kirsten Korosec and Kate Clark led a deep-dive discussion into Lyfts IPO and the outlook for the business going forward.
After skyrocketing nearly 10% on its first day hitting the public markets, Lyft stock has faded back down towards its IPO price as some investors grow more concerned over the companys path to profitability (or lack thereof) and the long-term fundamentals of the business. But Lyfts public listing is bigger than just the latest in increasingly common unicorn IPOs. As the first public transportation-as-a-service company, Lyft offers the first inside glimpse into the business model and its economics, and its development may ultimately act as the canary in the coal minefor the future of transportation.
Lyft, hasnt just survived, theyve grown. 18.6 million people took at least one ride in the last quarter of 2018. Thats up from 16.6 million in late-2016. That illustrates the growth that the company has had. Theyve also said that they have 39% share of the ride-sharing market in the US. Thats up from 22% in 2016.
To me, the big question is lets say they had Ubers share, which is 66%, would they be able to make a profit? Is that the determination? And Im not convinced that it is, which is why all these other aspects of the transportation-as-a-service business model [micromobility, AVs, etc.] are going to be really important.
Dissecting what Lyfts IPO means for Uber and the future of mobility
Image via Getty Images / Mario Tama
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