Comment on The food delivery bubble is bursting — and maybe that's not a bad thing
chonglibloodsport@lemmy.world 9 months ago
What I don’t understand is why the apps themselves aren’t even profitable. They’re taking billions of revenue yet losing money. What is costing them so much? Developers? The apps really haven’t changed much in the last few years.
trolololol@lemmy.world 9 months ago
Worker fees must be the top cost. In a purely it company the costs go mostly in building the features then rise slow and steady with numbers of users. These companies have a steady and bulky cost increase with number of users.
chonglibloodsport@lemmy.world 9 months ago
You mean the drivers? Or server/support/IT?
I thought the whole point of this business model was that they could build the software once and then using the power of scale they could make billions in profit. You know, like Google, Facebook, Snapchat, TikTok…
trolololol@lemmy.world 9 months ago
Drivers, yep.