--- title: "The Coronavirus Is Killing the Gig Economy" description: "Recent earning reports from companies like Lyft, Uber, and Airbnb show that the coronavirus pandemic is having a devastating effect on the sharing economy." date: "2020-05-07" modified: "2020-05-07" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor" url: "https://futurism.com/the-byte/coronavirus-killing-gig-economy" categories: - "Advanced Transport" - "Health & Medicine" - "Medical" - "Pathogens" - "Viruses" tags: - "covid19" - "lyft" - "ride-sharing" - "the digest" - "Uber" --- # The Coronavirus Is Killing the Gig Economy ![Recent earning reports from companies like Lyft, Uber, and Airbnb show that the coronavirus pandemic is having a devastating effect on the sharing economy.]() *\Image: Stock Catalog\* ## Slow Death Recent earning reports from companies like Lyft, Uber, and Airbnb show that the coronavirus pandemic is devastating the gig economy, [*The New York Times* reports](). And, with massive layoffs hitting all three companies, it could take a very long time for the industry to recover. "While we know Airbnb’s business will fully recover, the changes it will undergo are not temporary or short-lived," Airbnb chief executive Brian Chesky wrote in a memo to employees, as quoted by the *Times*. ## Uncertain Future Lyft saw a drop in ridership of almost 80 percent in late March. Uber's losses grew by 190 percent as the company laid off [3,700 workers](). Faced with a threat to their health, Americans are likely to use ride-sharing services [far less in the future](), studies by CarGurus and the IBM Institute for Business Value suggest. The pandemic also hit delivery services and bike or scooter sharing companies hard as well. Uber Eats had to shut in several entire countries. ## New Dawn Now, the gig economy will need to adapt to a new dawn. Airbnb, for instance, will have to find ways to maintain properties to keep customers and real estate owners safe. Many rideshare businesses, including Lyft, are now [requiring drivers]() and riders to wear face masks. Investors, however, seem undeterred — at least to a degree. Lyft's stock was up 20 percent on Thursday, after the company laid off nearly 1,000 people and showed better than expected revenues in the first quarter of 2020, according to the *Times*. **READ MORE:** [The Results Are In for the Sharing Economy. They Are Ugly.]() \[*The New York Times*\] **More on the pandemic:** *[BIOETHICIST: COVID-19 “IMMUNITY PASSPORTS” ARE A BAD IDEA]()* ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]()