# Prof. Arun Sundararajan discusses Uber's valuation

1 Faculty News December 5, 2014 ![The Washington Post logo](/sites/default/files/styles/246w/public/assets/images/con_031074.jpg?itok=f6OME_Rm)>

Excerpt from [The Washington Post](http://www.washingtonpost.com/blogs/the-switch/wp/2014/12/05/ubers-not-a-40-billion-start-up-its-a-mid-sized-car-company/) -- "'Thinking of them as a company that transports people from one place to another is one part of the story,' says [Sundararajan](http://w4.stern.nyu.edu/faculty/bio/arun-sundararajan), pausing our phone call to get into an arriving Uber vehicle. 'But you wouldn't come up with a $40 billion valuation from just that. Their investors are betting on a behavioral change amount where a lot of people are willing to spend more than they do now to get things on demand.'"

[Read more](http://www.washingtonpost.com/blogs/the-switch/wp/2014/12/05/ubers-not-a-40-billion-start-up-its-a-mid-sized-car-company/)