Uber is joining the ranks of mature tech giants that saw their leaders - typically harsh entrepreneur-founders - replaced by experienced ex-bankers and ex-CEOs. Uber's CEO Dara Khosrowshahi, who was brought on board in 2017, is on a mission to shut down moonshot projects and cut costs to bring Uber to profitability.
Uber was an idea to solve a genuine problem, but it has evolved into the worst nightmare of every management consultant.
The company has achieved organically what every consultant strives for : It has severed the link between top management and workers. All of the intelligence and decision-making is kept at the C-suite level, while the workers are given the (illusion of) control and freedom over how and when they work.
For now, Uber also seems well equipped to withstand legislative challenges like AB5. The company is already testing app changes, such as letting drivers set their own rate, to meet AB5's tests and avoid automatic reclassification of its drivers to full-time employees.
These and other legislative changes will continue to challenge Uber, but they won't stop it because Uber is not a mere regulatory arbitrage; it is an evolutionary step in management.
Analysts are beginning to realize this. And that's turning Uber into the conviction call of 2020.