The valuation is defensible:
$2 billion in rides, $400 million in net revenues, so valued at 45X revenues, in line with valuations of AirBNB, Dropbox, etc. Even if you think that’s a bad comparison because there is a general bubble out there, it’s doubling every 6 months (so 400% growth every year), so the valuation seems defensible on its own terms. i.e., if you hold valuation stable, in a year, revenues would be $1.6 billion and it would be trading at a mere 11X revenues. It could be a bust investment — but in vc the game is that most of your investments will be bust, salvaged by the few winners — but doesn’t seem to be a crazy investment. My guess is that the Fidelity types led the investment because they have lower return expectations than a late-stage VC shop. Let’s all get back to work building our companies.