> If Uber were running a profitable business, the rides would be as expensive or more so than taxis.

Might be off topic, but in downtown Chicago before/after work cabs (including tip) are often cheaper than Uber/Lyft (with no additional tip,) although they offer other conveniences (payment, tracking, can be "hailed" to anywhere, etc.) At less busy times ride sharing can still be a bit cheaper than a cab.