Uber CEO within two years to achieve profitability in some cities in China


technology news Beijing time on March 29th morning news, U.S. taxi service Uber CEO Travis · kalanike (Travis Kalanick); CNBC interview at the Boao forum said that over the past 6 months the company has been in the "hundreds" of city market is profitable, and predicted that within two years of the part the city will also begin to profit Chinese.

Uber valuation of more than $62 billion, the company recently announced that it has achieved profitability in the U.S. market, but still faces more than $1 billion a year in China losses. But this kalanike defended, he pointed out that the Uber service has entered the 400 city in the world, and if not for investment activities and can not be profitable, so the company could do to expand the scale.

kalanike said: "if you only care about the profit is a layman, then you will see is the smallest business profit. But if we can make a profit in many cities around the world, it will help us to invest more in this country. Today, we have to create a $1 billion profit in the global top 30 city, and the city was two per year to four times the speed of growth, these funds allow us to enter the Chinese market and major investment, so that the whole system can be made up."

asked whether Uber year in China losses of $1 billion when he was Chinese of kalanike replied "investment of $1 billion a year". He added that the past 6 months "hundreds of city are profitable, we can profit in the operation problems of the city is becoming more and more". Kalanike also compared Uber to Amazon, said its like the latter is a large part of their profits for re investment.

Uber Chinese business valuation of up to $8 billion, but the business is facing fierce competition from drops fast, the valuation of $16 billion 500 million, the investor group including Alibaba (NYSE:BABA) and Tencent (0700.HK) etc.. Nevertheless, kalanike Uber will be profitable to remain optimistic about the prospects in parts of Chinese. "I’m not sure how much money I need to invest in China to make a profit," he said. "But I’m optimistic that the next two years will start to see some Chinese cities start to make a profit."

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