They are a taxi company. Offering prices lower than the market rate. So of course they are losing tons of money.
Their goal is to roll out self-driving taxis before they go bankrupt. If they succeed in being the first company with self-driving taxis, they will become incredibly successful. Because of this possibility, they have attracted a huge amount of investment. This allows them to lose lots of money for a long time without going bankrupt.
In the short term, customers are winners from Uber's lower prices (disregarding legal/ethical issues, which are real, but tangential to my description of the business model).