Uber gains additional attention from law enforcement authorities…
Has Uber been using software to evade authorities? A criminal probe will investigate whether or not the multi-billion-dollar ride-share company used software to evade regulators. While regulations can often be a nuisance, the law is the law. Regulators have forbidden Uber from operating in certain areas.
The US Department of Justice alleges that the Silicon Valley giant is using software called “Greyball” to circumvent local transportation officials. Uber has already acknowledged the existence of this software but has banned its use since March. The existence of the software was first revealed by the New York Times.
Greyball allowed Uber to obscure the location of Uber drivers and their cars. This makes it more difficult to track the movement of said cars. Such “cloaking” abilities could potentially impede regulators in their efforts to monitor cars and to ensure that they weren’t operating in forbidden areas.
One of the key cases involves Portland, where Uber was forbidden from operating up until 2015. The company claims that it rarely used the software in the city. The Portland city government made letters from Uber public last week where the company downplayed the role of the software.
Uber is also under investigation in North California, where a grand jury served the company a subpoena requesting more information regarding its operation on Greyball. Specifically, the subpoena has requested the company to make clear how its software functioned and where it was used. The subpoena itself offers evidence that the company is under investigation.
The exact nature of the federal investigation under the Justice Department remains unclear. Uber has built a reputation for being an aggressive company willing to step on toes, not just in the United States but around the world. Globally, Uber has challenged regulatory authorities seeking to regulate or restrict the company and its operations.
For my own part, I am quite sympathetic to Uber. The company has made getting a ride much more affordable. Whether riders need a ride to work or simply need a ride home after a long night at the bar, Uber has made hailing rides far cheaper than a taxi. Still, the tech giant should wage its battles in the court of law, or even through election cycles, rather than by using nefarious apps and software.
