The Real Reason Uber Abandoned China

Uber called it quits in China earlier this month, selling its operations there to local rival Didi Chuxing rather than continue heavy spending to sustain a price war. "Uber and Didi Chuxing are investing billions of dollars in China and both companies have yet to turn a profit there," lamanted Uber CEO Travis Kalanick at the time.

Now, a report from Bloomberg sheds light on the financial reality that led to Kalanick's unexpected decision.