Pixel Envy

Written by Nick Heer.

Travis Kalanick Severs Ties With Uber

Annie Palmer, CNBC:

Former Uber CEO Travis Kalanick will step down from the board, effective Dec. 31, and a spokesperson said Tuesday he has sold all of his stock in the ride-hailing company he co-founded 10 years ago.

It’s unclear how much Kalanick’s total stake is worth, but the latest public filings show it’s about $2.5 billion.

Uber’s disastrous second quarter this year resulted in losses of $5.2 billion, of which $3.9 billion was attributable to IPO payouts. In the third quarter, the company lost $1.2 billion, which is similar to their second-quarter non-IPO-based losses. So, if those losses are similar this quarter, and if Kalanick’s $2.5 billion worth of now-sold shares was locked up until the current quarter, they could be in for another multibillion-dollar loss this quarter. They’re probably going to cross $20 billion in total losses since 2016.

Uber is a predatory company, and it sure seems that even Kalanick is not convinced of its long-term prospects.