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Here's what I'm not understanding about Uber. There' nothing they provide that couldn't be cloned. It's clear there's no way to grow into profitability so once the VC subsidies go away Uber will have to significantly raise prices to survive, putting them in the same price range as traditional car services. At that point, what's to stop Yellow Cab from creating their own Uber clone and eating Uber's lunch?

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Well, Yellow Cab could hardly even get credit payments to work in their cabs, so they are not exactly a technology company. It's not going to be easy for a cab company to clone what Uber (or lyft) have built during the last 7 years. Plus Uber has a network of drivers/users that has significant value.

> At that point, what's to stop Yellow Cab from creating their own Uber clone and eating Uber's lunch

Their own incompetence

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