Last week, the global ride firm Uber announced it was selling its China operations to its competitor, Didi Chuxing (Didi) in return for a 20% share of the new company. Much of the media coverage is critical of Uber, stating that it “lost” and Didi “won.” To my mind, the situation is more ambiguous because Uber had less than 20% of the market share before this merger and it was bleeding cash. So locking Uber in at 20% and stopping the negative cash flow strikes me at least as a tactical win. Had Uber made other mistakes along the way so that it was difficult for them to compete effectively against Didi? Perhaps, but that was not the question in front of them last week.  Milk spilt.

from Forbes – Tech http://ift.tt/2aFBiQX
via IFTTT