Comment by fred_durst

The FedEX UPS example doesn't apply because their services are limited by physical infrastructure. The have to buy/lease trucks and distributions centers. Uber and Lyft have no physical limits so the larger one can always undercut the other out of business once it has enough of a competitive advantage. Once Uber is the name brand service for consumers drivers will no longer have a choice and Uber can price squeeze Lyft to death.