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Comment by jacknews | Hacker News Reader

I wonder how much of this is real, and how much is part of the fed's acknowledged plan to push wages down.

I mean obviously the layoffs are real, but are they necessary, or just symptoms of the chill winds and fear now blowing from the fed.

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Ser, we’re at a point where a company like Uber looks like it might never turn an operational profit, and is quietly planning to/has existed most markets.

If $33B in funding doesn’t get you a dollar in profit, you have to wonder if its all even worth it.

> has existed most markets.

which markets did Uber exit voluntarily?

Most recently, they've reportedly been exploring exit options in India [0]. Friends in my startup circle corroborate these rumors.

As an end user in this country, it definitely looks like a business that's close to capitulation.

0: https://www.news18.com/news/business/uber-explored-options-t...

There are a lot of companies, small and medium, without enough revenue or funding to pay employee salaries, given reasonable budgeting into the next several quarters.

This is as real as it gets.

It does seem at this point as if companies that haven't been able to make money, sometimes for years--especially those that should have been "pandemic businesses" (looking at you meal kit subscriptions)--are going to have to significantly raise prices, cut costs, or turn out the lights.

If this is a reaction to the Fed raising rates, the layoffs aren't necessary, but by and large, these companies put short term gains above all else, which is why they are doing it.

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