• This Week In Rideshare: Uber Verifies Riders, Insurance Crisis and Waymo Talks With Hyundai.
    Sep 20 2024

    Uber announces a new feature, a looming crisis for drivers and Waymo gets friendly with Hyundai. LegalRideshare breaks it down.

    UBER VERIFIES RIDERS

    Uber gives drivers some peace of mind. The Verge reported:

    All Uber customers will have their personal information, like their name and phone number, cross-checked against third-party databases to make sure there aren't any potential red flags. In addition, riders can opt to upload their government-issued ID to the Uber app to further verify their identity. Once they are verified, customers will have a special badge attached to their account that will be visible to drivers before they accept trip requests.

    Uber began testing rider verification in a number of cities earlier this year and was satisfied with the results: “the majority of riders” in those pilot markets got verified, and those that were “tend to give drivers 5 stars more often,” the company said. “Riders who are verified also get fewer serious complaints from drivers.”

    INSURANCE CRISIS IN NYC

    A looming insurance crisis could affect tens of thousands of drivers. The New York Times reported:

    The largest insurer of taxis and Ubers in New York City is on the verge of a financial collapse that could force thousands of cars out of service and lead to higher costs for drivers and passengers.

    The insurer, American Transit Insurance Company, provides coverage for about 74,000 for-hire vehicles in the city, or more than 60 percent of the available cars, according to city records.

    In its latest financial filing, the privately owned company reported that it was insolvent, with more than $700 million in losses from existing and projected claims from past accidents — a huge hole that has been growing for years in part because of questionable financial practices, according to state officials.

    That means American Transit does not have enough money in reserve to pay out those claims despite years of collecting premiums on those policies. Instead, the company has managed to continue operating by using money coming in from new premiums to help cover those costs, essentially leaving its current clients underinsured in the event of an accident, state officials said.

    WAYMO IN TALKS WITH HYUNDAI

    Waymo is looking at Hyundai to build its cars. Reuters reported:

    Officials at Waymo and Hyundai Motor have met more than three times to discuss a plan to use Hyundai's Ioniq 5 electric vehicles for Waymo's sixth-generation self-driving technology, the report said, adding that the plan includes replacing offerings, opens new tab from China's Zeekr with the Ioniq 5 models.

    The report came as President Joe Biden's administration last week locked in steep tariff hikes on Chinese imports, including a 100% duty on electric vehicles, which will take effect on Sept. 27.

    Waymo has purchased vehicles from Stellantis (STLAM.MI), opens new tab and Jaguar Land Rover and integrated its technology into the base vehicles to offer autonomous ride-hailing services in Phoenix, San Francisco and Los Angeles.

    Waymo is also testing its next-generation self-driving car technology using vehicles from Zeekr, the electric car brand of China's Geely Automobile Holdings.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    12 mins
  • This Week In Rideshare: Uber Drivers Versus Waymo, DoorDash Dashers and Tesla Plus Uber.
    Sep 13 2024

    Drivers weigh-in on Waymo, dashers time at work and Tesla integrates with Uber. LegalRideshare breaks it down.

    DRIVERS WEIGH-IN ON WAYMO

    Uber drivers give their thoughts on Waymo. The Register adds:

    Tim — a pseudonym as he asked not to be identified — expects Waymo, the leading maker of self-driving taxis, to broadly under-cut Uber's human-operated ride-hailing service in the US city at some point in 2025, and feels that will be the beginning of the end.

    “To put it bluntly, we are cooked,” said one person posting to a forum for San Francisco Uber drivers, in response to my solicitation for thoughts about Waymo. “We're done for. In the age of artificial intelligence and automation, we're the first to be impacted in a major way.”

    Tim argues that Waymo, which began offering rides to the general public in San Francisco in June, will use the same business playbook that Uber used to beat its competitors — spend venture capital to price rivals out of the market.

    “The second Waymo trips are less than Uber, which is going to happen in 2025, everyone including myself, will just start taking Waymo,” he said.

    DOORDASHERS DOING THE WORK

    Dashers spend less time on the gig than you think. Business Insider reported:

    About 7 million people made deliveries for DoorDash last year. But, surprisingly, most of them averaged just a few hours a week on the gig.

    Seventy-two percent of DoorDash's gig workers devoted less than four hours a week to making deliveries, according to the company. That figure includes just the time that gig workers spend on a delivery. Including downtime between orders, about 62% of workers spent less than four hours a week working for the app.

    DoorDash's workforce of independent contractors also skews young and female. Fifty-five percent of DoorDash's workers, whom the company calls “Dashers,” were between 26 and 44 years old in 2023, according to DoorDash. And 60% said they identified as women.

    Many of DoorDash's contractors are using the service to make ends meet — either to cover their mortgage, pay off debt, or have income between jobs — in addition to working a full-time position, a 2023 report from the company found. As of 2022, 44% of DoorDash contractors also had a full-time job.

    TESLA INTEGRATES WITH UBER

    Tesla integrates with Uber. Electrek adds:

    Uber has announced that Tesla drivers using its rideshare app can now send trip navigation automatically to their vehicles.

    On top of the navigation, Uber drivers can make the rideshare app aware of their current battery range in order to only send trip request within that range.

    Tesla and Uber have also been working together to share data in order to better deploy charging stations in New York City, where there are a lot of Uber drivers using Tesla vehicles.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    16 mins
  • This Week In Rideshare: Lyft Verification, Tesla Robotaxis and Lyft Bikes.
    Sep 6 2024

    Lyft verifies in Chicago, Tesla goes Hollywood and bikes get dumped. LegalRideshare breaks it down.

    CLICK TO LISTEN TO PODCAST

    LYFT ADDS RIDER VERIFICATION

    Lyft adds rider verification in Chicago, but is it too late? Chicago Sun Times reported:

    Ride-hailing company Lyft is piloting a rider verification program in Chicago to crack down on anonymous users and improve drivers' safety — but critics say it's too little, too late, coming three years after a peak of carjackings. Rider verification is not mandatory, according to Lyft. Instead, verified riders will be marked with a blue check mark that will be seen by drivers before they accept a rider. Nolberto Casas, a ride-hailing driver and spokesman for Chicago Gig Alliance, called the program “window dressing” and “too little, too late.” Casas said Lyft's pilot program “puts the onus on the driver. What it says is: We're putting up this mediocre program but unverified riders can still get rides. And you accept them at your own risk. We don't accept that.” TESLA GOES HOLLYWOOD

    Tesla goes Hollywood for its robotaxi reveal. The Verge reported:

    Over the weekend, Bloomberg reported that Tesla was planning on using the film studio's lot in Burbank, California, to reveal its next-generation robotaxi on October 10th. (The event was originally supposed to take place on August 8th but was pushed back after Musk ordered more work on the prototype.) It was an interesting decision considering Tesla mostly likes to hold these types of events on its own turf. But as Bloomberg noted, the 110-acre lot contains over two dozen sound stages, including fake suburban towns that could be an ideal location to test a not-quite-ready-for-primetime autonomous vehicle. Another glaring hole in Tesla's approach to self-driving is legal liability. To date, the company has been unwilling to accept any liability for crashes involving the company's driver-assistance features, Autopilot and Full Self-Driving. In fact, Musk even laughed off a question as to whether his company would accept legal liability for its self-driving vehicles in the future. “There's a lot of people who assume we have legal liability,” Musk has said, “judging by the lawsuits.” LYFT DUMPS BIKES

    Lyft dumps some bikes. Bloomberg reported:

    Lyft Inc. plans to sell some of its bike and scooter business and eliminate 1% of its employees as the ride-hailing company struggles to turn profitable. Lyft, which operates bikesharing programs in New York City, Chicago, San Francisco and Minneapolis, issued ambitious three-year growth and profitability targets in June, signaling an effort to turn around its core ridesharing business that has struggled to gain share from rival Uber Technologies Inc. Shares of Lyft have been down 24% this year.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    21 mins
  • This Week In Rideshare: Confused Robotaxi, Uber Teens, and Uber Drivers Swindled.
    Aug 30 2024

    A Waymo goes way wrong, Uber tweaks its teens, and feds pounce on “screwber”. LegalRideshare breaks it down.

    WAYMO GOES THE WRONG WAY Source: Waymo

    A robotaxi got a little confused. AZ Family reported:

    In a video now going viral on TikTok, two East Valley women caught a self-driving Waymo headed toward them going the wrong way down the street.

    The incident happened last week near Rural Road and Apache Boulevard in Tempe — a busy spot, right near the Arizona State campus.

    At first, the women thought the Waymo looking confused was funny but then realized the situation was serious. Recent ASU grads Aiselyn Anaya-Hall and Emmie Wuest say they thought they might get into a crash with a Waymo.

    “Oh look, a Waymo. Oh look, it's crossing the street. And then oh look, it is pulling into the wrong way,” said Wuest, who was driving her own car when the two witnessed the incident.

    The two say they saw a man in the passenger seat of the Waymo car heading into oncoming traffic.

    “He couldn't do anything. He just kinda put his hands up. You can't really see it in the video,” said Hall, who took the viral video.

    UBER TWEAKS TEENS

    Uber tweaks its teens. Verge reported:

    Last year, Uber launched teen accounts in two dozen cities, in which parents and guardians can create accounts for minors aged 13–17. Since then, the list has grown to over 250 cities in all 50 states. Uber says the latest update is in response to feedback from teen users and their families.

    Parents and guardians can now hail a ride for their teenager from their own accounts. Previously, rides could only be hailed from the teen customers' accounts. The ride will feature all the same safety features that are available to teens who book their own trips, including notifications when the teenager has started the ride and real-time tracking of the vehicle.

    FEDS CHARGE TWO IN “SCREWBER” SCHEME

    Feds have charged two people in scheme to swindle Uber riders and drivers. AM NY reported:

    Federal prosecutors in New York charged two men with orchestrating a long-running scheme to pocket phony “surge charge” fees and defraud Uber, its drivers, and its customers, in part by using an app called “Screwber.”

    The FBI arrested Eliahou Paldiel, 52, of Queens, and Carlos Arturo Suarez Palacios, 54, of Brick Township, NJ. Both appeared in Brooklyn Federal Court on Aug. 28 for arraignment on charges of wire fraud and money laundering conspiracies that could land each of them in jail for 40 years.

    The pair are accused of selling hacked smartphones pre-installed with the “Screwber” app to 800 separate Uber drivers, which allowed them to learn a customer's destination and fare ahead of accepting a ride, and thus only accept the most lucrative of fares. The pair sold Screwber for a $600 one-time fee plus a $300 monthly subscription.

    Separately, an app called “Fake GPS” allowed the drivers to “spoof” their location, allowing them to accept rides experiencing surge pricing ahead of closer drivers. The app also enabled drivers to pretend they were in an airport ride-hail queue before they had actually arrived and skip the virtual line.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    16 mins
  • This Week In Rideshare: Drivers defy Uber, Uber in Nevada, Uber hires Tesla.
    Aug 23 2024
    KENYAN DRIVERS DEFY UBER

    Drivers in Kenya defy Uber to survive. NTV reported:

    A bruising price war between ride-hailing companies Uber Technologies, Estonia's Bolt and local start-ups Little and Faras has driven fares down to a level that many drivers say is unsustainable, forcing them to set their own higher rates. The East African nation of 50 million people has been rocked by deadly protests against tax hikes which, together with high prices of basic commodities and elevated interest rates, has been blamed for lower disposable incomes. Many say they use walkie-talkie app Zello to collectively agree on higher prices, meaning a customer will get the same rate even if they shop around. Drivers have also produced a fare guide, which they print, laminate and post up inside their cars for customers to see. UBER'S BALLOT PUSH IN NEVADA

    Uber's big spend in Nevada may be just the beginning. Fast Company reported:

    In recent months, Uber has quietly pledged millions of dollars in support of a somewhat obscure ballot measure in Nevada. A New York Times report last week revealed that the ridesharing company has invested $5 million into Nevadans for Fair Recovery, a political action committee created by Uber — and the driving force behind the ballot campaign. This might seem like an unusual position for Uber to stake out. The company has framed the ballot measure as a win for plaintiffs, since it would curtail attorneys' fees. But the Times report, along with plaintiffs' attorneys who have spoken out against the proposal, have argued it is more likely a strategy to reduce the number of lawsuits and legal claims Uber is facing over driver misconduct. (Multiple cases involve sexual assault allegations from passengers in Nevada.) It can already be difficult for workers and other plaintiffs to find a lawyer who will take their case on a contingency basis. In cases that involve employment discrimination, for example, the potential payout can be relatively low, since federal law caps damages at $300,000 even for large companies. (The general counsel at the Equal Employment Opportunity Commission, or EEOC, has criticized this cap and called it “outdated.”) UBER HIRES EX-TESLA

    Uber hires an ex-Tesla executive to oversee EV. Bloomberg reported:

    Uber Technologies Inc. has hired former Tesla Inc. executive Rebecca Tinucci to oversee the ride-hailing platform's shift to electric vehicles, tapping a veteran who helped open the carmaker's charging network to other car brands. In the new role, Tinucci will oversee Uber's transition to a zero-emissions platform. The company is aiming for all of its rides and deliveries globally to be made using zero-emission vehicles by 2040. It's also working to eliminate unnecessary plastic waste from restaurant deliveries and to use more sustainable packaging.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    18 mins
  • This Week In Rideshare: Gig Work, Uber Lawsuits, and Robotaxis.
    Aug 15 2024

    GenZ joins gig work, Uber fights lawsuits, and issues with robotaxis. LegalRideshare breaks it down.

    GENZ JOINS GIG WORK

    GenZ joins the gig work movement. NBC Miami reported:

    According to Bankrate more than 48% of GenZers and 44% of Millennials has a side hustle. Also, parents or guardians of kids younger than 18 are 45% more likely to have a side hustle.

    The study shares that the average side hustler makes more than $890 a month in extra income. Those who identify as side hustlers, more than 50% of them have only been making side money for two years or less.

    Bankrate says 37% of side hustlers use their income to fund purchases, 36% for regular living expenses, 31% save a portion of their funds, 20% put a down payment on a home and 16% are hoping to make it their only revenue stream.

    UBER TRIES TO STOP LAWSUITS

    Uber is looking to stomp out lawsuits. NY Times reported:

    The company is seeking to place a measure on Nevada's ballot that would drastically limit the amount of money that lawyers could collect when they brought successful lawsuits. If the measure passes, it will make it less attractive — and in some cases financially impractical — for plaintiffs' lawyers to file such suits.

    The initiative is being spearheaded by Nevadans for Fair Recovery, a political action committee created this year by Uber and its lobbyists. The company has put $5 million into the PAC and is its only financial backer, campaign finance records show.

    Contingency fees allow lawyers to take on cases without requiring clients to pay anything out of pocket. Lawyers shoulder the costs of bringing the lawsuit in exchange for a cut of any settlement or judgment. Large payments in successful cases help cover the costs of lawsuits that do not yield any money. But businesses have long complained that high contingency fees drive up costs for the public and exist primarily to enrich lawyers.

    UBER UNIMPRESSED WITH TESLA'S ROBOTAXIS

    Uber's CEO sees major issues with Tesla's robotaxi plan. The Street reported:

    Khosrowshahi claimed that Tesla's robotaxi plan, which will allow Tesla owners to rent out their vehicles to be used as driverless taxis for a profit, may not get the thumbs up from Tesla owners.

    He said that it is “not clear” to him that the average Tesla owner will want to have their car “be ridden in by a complete stranger.”

    He also stated that allowing Tesla owners to rent out their cars for taxi services will make it difficult to manage the “peaks and valleys” associated with supply and demand.

    “It just so happens that probably the times at which you're going to want your Tesla are probably going to be the same times that ridership is going to be at a peak,” said Khosrowshahi.

    Khosrowshahi also revealed during the interview that he is skeptical about society's acceptance of driverless vehicles due to worries about safety, and how people are more accepting of mistakes from human drivers than robots, which can pose a challenge for robotaxis.

    The CEO also highlighted that the rideshare industry is “very” different from the business of building vehicles, which Tesla has expertise in, and that a lot can go wrong such as car accidents, passengers getting sick or losing items in cars or wanting to pay in cash.

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    22 mins
  • This Week In Rideshare: Literacy, AV, and Surge Pricing.
    Aug 8 2024

    Educating gig workers, Uber goes AV, and Lyft ‘opens a can of whoop ass'. LegalRideshare breaks it down.

    EDUCATING GIG WORKERS

    One of the biggest issues gig workers face, is educating gig work. Forbes explains:

    While self-employment and the gig economy promise freedom and flexibility, they come with significant costs. Given that a majority of Americans cannot answer basic financial literacy questions, that leaves these 5 million Americans left to navigate the landscape of self-employment in the dark.

    Because these workers are “independent contractors,” they are not covered by the basic worker protection laws nor do they receive employment-based health insurance, unemployment insurance, retirement benefits, paid sick leave, or workers' compensation when injured on the job.

    It's easy to forget that gig workers routinely are forced to work with broken limbs and severe illness in order to put food on the table. A recent study found that one in five gig workers live in a household where someone avoided a doctor or hospital visit because of the cost, while the Economic Policy Institute found that nearly nearly one in five workers went hungry in the last month, thirty percent of gig workers used SNAP to pay for groceries; and nearly a third could not pay all of their monthly utility bills.

    UBER GOES BIG ON AV

    Uber drives into AV as Tesla is hot on its tail. TechCrunch reported:

    Uber said in its second-quarter results statement that the number of trips performed by autonomous vehicles rose 6x from a year earlier — up from what the company didn't say. And, the first thing Uber highlighted in its presentation deck was AVs in a section titled, “Autonomous Vehicle Spotlight.” It detailed how the ride-hail and delivery giant has the right utilization, consumer experience and go-to-market expertise to “drive the greatest value for AV partners.”

    Tesla CEO Elon Musk has repeatedly described Tesla's future robotaxi network as having a similar business model to Uber and Airbnb, where Tesla owners could add their properly equipped vehicles to the carmaker's own ridesharing app. In places where there aren't enough people to share their cars, Tesla would provide a dedicated fleet of robotaxis.

    Uber CEO Dara Khosrowshahi said on Tuesday's earnings call that he's confident Uber will be able to “acquire AV content…on a global basis.”

    LYFT OPENS A CAN OF WHOOP ASS

    Lyft goes big on curbing surge pricing. TechCrunch reported:

    Ride-hail giant Lyft will pilot a new feature called Price Lock that will let a rider purchase a monthly subscription “that caps the price for a specific route at a specific time,” according to CEO David Risher.

    The feature is designed to address the inconsistencies of surge pricing, particularly for commuters who use the Lyft app every day. It's part of Lyft's broader plan to “open up a can of whoop ass on primetime,” Risher said Wednesday during Lyft's second-quarter earnings call.

    Over the past year, Lyft has made a concerted effort to reduce the number of rides impacted by surge pricing. Risher noted that on a quarterly basis, that number declined by 25%, which he said contributes to better conversion rates.

    ---------------

    LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.

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    21 mins
  • This Week In Rideshare: Eats, AVs, and Lockouts.
    Aug 2 2024
    The dirty truth about delivery, Uber goes AV, and drivers get unlocked. LegalRideshare breaks it down. AN UBER EATS STORY One Uber Eats worker shares life as a delivery driver. Business Insider reported: In May 2023, I got laid off from my full-time job in SEO and started driving for Uber Eats to pay my rent. I would recommend doing literally anything else than delivering food for a living. It was a really bad time in my life, and in 10 months, I made about $9,000. I would start my days at 5 a.m. and work until midnight. You usually get less than $1 per mile, but Uber will also suggest deliveries that aren't worth it, like a $3 delivery — but from point A to point B is 12 miles. That's before factoring in gas, which you cover yourself and is around $4 a gallon where I live. Taking all those orders means you're almost paying Uber to work. Maybe only one out of every 40 orders is truly worth your time I could be waiting around for hours, too. Sometimes, I needed to make money to eat, so I would throw a couple of gallons of gas in and only take home $20. That meant I couldn't pay bills — I was just making enough to survive. Fortunately, I had a good support system of friends to fall back on. If it wasn't for them, I would've been sleeping in my car. Uber hides the tip the customer has entered, so it's difficult to tell how much you'll make from a delivery until you've accepted it. The fee structure encourages the customers to wonder why they should tip when they're already paying all these fees. People see the delivery fee on their order and think the driver receives it, but that's not the case. UBER USES BYD CARS IN EUROPE Uber plans to use 100,000 electric cars in Europe and develop AV. CNBC reported: Uber and BYD announced Wednesday that drivers on the ride-hailing platform can get pricing and financing deals for the Chinese company's electric cars, starting in Europe and Latin America. The two companies will also develop “autonomous-capable vehicles” for Uber's platform, according to a press release. The multi-year strategic partnership, which the companies said could bring 100,000 BYD cars to Uber, comes despite the EU following the U.S. this year in raising tariffs on imports of Chinese-made electric cars. Shenzhen-based BYD has become a dominant player in China's electric car market. The company surpassed Tesla in total vehicle production for two straight years and has ramped up overseas expansion, including investments in factories abroad. NYC FIGHTS OVER LOCKOUTS NYC mayor hails a win for drivers but they see it differently. SI Live reported: Under the agreement Adams touted, Uber will begin to phase out the lockout practices with the company ending the practice entirely by Labor Day if Lyft maintains an annual company utilization rate of at least 50%. As part of the agreement, both companies will also pause bringing on new drivers, in an effort increase utilization rates and allow more work for existing drivers. Lyft will minimize lockouts as the onboarding pause continues, according to Adams' office. Bhairavi Desai — the head of the New York Taxi Workers Alliance and someone who Adams' administration has stood with in the past — said the agreement on driver lockouts amounts to little more than a handout to the ride share giants while trying to curb a growing labor movement among the drivers. “The real goal of this phony deal is to try to demobilize the thousands of drivers who've made it clear that they're ready to strike. Unfortunately, the city seems more interested in a photo-op and an easy press victory than actually fighting for drivers,” Desai said in a statement published on X. “But drivers don't need photo-ops and they aren't afraid of taking on Uber, Lyft or City Hall. We reject this corporate give-away, and we'll continue mobilizing until the lockouts end for everyone, all the loopholes are closed, and every driver is paid for every hour worked.” LegalRideshare is the first law firm in the United States to focus exclusively on Uber®, Lyft®, gig workers, delivery and e-scooter accidents and injuries. Consultations are always free.
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    19 mins