The Courts

Uber Admits Its Ghost Driver 'Greyball' Tool Was Used To Thwart Regulators, Vows To Stop (usatoday.com) 71

Uber has admitted it used a tool to thwart city regulators, and announced a review of its controversial Greyball technology. From a report on USA Today: Greyballing, a play on blackballing, was a way for Uber officials to remotely provide ghost driver information to a targeted individual. A March 3 report on the program in The New York Times cited a 2014 example where a regulator in Portland, Ore., a city in which Uber was operating without approval at the time, was unable to hail a car because of his Greyball-powered app. "We have started a review of the different ways this technology has been used to date," Joe Sullivan, Uber's chief security officer, wrote in a blog post. "In addition, we are expressly prohibiting its use to target action by local regulators going forward."
Transportation

Toronto Start-Up Will Send a Mechanic To Your Driveway To Repair Your Car On Demand (techcrunch.com) 160

Toronto-based startup Fiix, part of Y Combinator's Winter 2017 class, has built a platform to send a mechanic to your home to fix your car within hours of being requested. TechCrunch reports: Customers request service by calling or chatting with the company on the website. Interestingly, Fiix prefers to deal with customers over the phone so they can accurately diagnose the issue. This lets them send the right parts and mechanic without actually seeing your car, and make sure the issue can actually be fixed in a driveway and doesn't need a full garage. That being said, the startup says over 80% of repairs done in a shop can be done in a driveway as long as you have an experienced mechanic. All of Fiix's mechanics are independent contractors -- some who are generalists and some who specialize in foreign cars like Mercedes. In fact many are mechanics who work during the day in dealership repair shops and work for Fiix to make some extra cash on the side. Since the startup has no fixed overhead they can pay their mechanics more than most shops or dealerships can. TechCrunch notes that it's not the only on-demand mechanic startup -- YourMechanic, for example, launched in 2012 at TechCrunch Disrupt SF. What do you Slashdotters think of this start-up? Would you trust an on-demand mechanic to visit your home and work on your vehicle, or would you prefer to take it to a local shop?
Transportation

Uber's Silicon Valley Employees May Be Looking to Jump Ship (fortune.com) 92

Some San Francisco-based recruiters and executives at Uber's rival companies told the Financial Times in a Monday article that the number of Uber employees looking to leave the ride-sharing company has spiked. From a report: "One of the main reasons is lack of faith in senior leadership," one unnamed recruiter that previously worked with Uber told the FT. The news comes as the company weathers waves of criticism regarding its leadership, political stance, and internal culture. An Uber spokesperson told the FT that its current level of departures has been normal.
Government

Uber Has Been Using a Secretive Program To Identify Enforcement Officers And Prevent Them From Hailing Cars (nytimes.com) 218

Uber has been using a secretive program to evade authorities for years, particularly at times when city regulators were trying to block the ride-hailing service, according to a new report by the New York Times. From the report: Uber is using a tool called "Greyball" to work identify requests made by certain users and deny them service, according to the report. The application, later renamed the "violation of terms of service" or VTOS program, is said to employ data analysis on info collected by the Uber app to identify individuals violating Uber's terms of service, and blocks riders from being able to hail rides who fall into that category -- including, according to the report, members of code enforcement authorities or city officials who are attempting to gather data about Uber offering service where it's currently prohibited. The report claims that that Uber's "violation of terms of service" or VTOS program, briefly known as Greyball, began around 2014, and has sign-off from Uber's legal team.In a statement, Uber said, "This program denies ride requests to users who are violating our terms of service -- whether that's people aiming to physically harm drivers, competitors looking to disrupt our operations, or opponents who collude with officials on secret 'stings' meant to entrap drivers."

Journalists, putting things in context. Russell Brandom, a reporter at The Verge said, This is the kind of thing a DA would put in front of a judge if they wanted to subpoena Uber's business records for an entire city. Matt Rosoff, editorial director at CNBC Digital added, I've been a tech journalist on and off for 21 years and I can't remember any company having a worse month news cycle-wise than Uber is now.
The Courts

Uber Loses Legal Test Case Over Language (bbc.com) 139

Ride-hailing service Uber lost a court battle on Friday to stop a London regulator from forcing private hire drivers to prove their reading and writing skills in English, the latest setback for the firm in London which could now lose some workers. From a report: The ride-hailing app went to court after Transport for London (TfL) said that drivers should have to prove their ability to communicate in English. Uber argued that the standard of reading and writing required by the test was too high. The US firm said the test was "unfair and disproportionate" and it would appeal against the court's decision. The ruling will also apply to all minicab firms in London. "TfL are entitled to require private hire drivers to demonstrate English language compliance," said Judge John Mitting as he rejected Uber's claim. Tom de la Mare QC, for Uber and the drivers, told the judge that the language requirement would result in 70,000 applicants failing to obtain a licence over three years. The proposals would have a disproportionate impact on drivers from countries where English was not generally spoken and give rise to "indirect discrimination on grounds of race and nationality."
Transportation

Uber Says It Will Apply For Self-Driving Permit In California (mercurynews.com) 47

An anonymous reader quotes a report from The Mercury News: Uber will apply for a state permit to test its self-driving cars on public roads [in California], the company said Thursday, more than a month after the California Department of Motor Vehicles shut down Uber's autonomous vehicle pilot program. The DMV already has reinstated the registrations for two of Uber's self-driving Volvos, which are back on the road in San Francisco, an Uber spokeswoman said. The cars will not go into self-driving mode until the permit is issued, she said. "These cars are legally registered and are being driven manually," an Uber spokeswoman said. "We are taking steps to complete our application to apply for a DMV testing permit. As we said in December, Uber remains 100 percent committed to California." DMV spokeswoman Jessica Gonzalez confirmed that regulators have been working with Uber on the application process. "Uber hasn't formally submitted their autonomous vehicle tester program application," Gonzalez wrote in an email, "but just as we would with any other manufacturer, the DMV is providing assistance with the steps necessary to apply for and receive a test permit."
The Courts

Uber Ex-engineer Who Alleged Sexism Retains Lawyer (usatoday.com) 113

Marco della Cava and Jessica Guynn, writing for USA Today: The former Uber engineer whose critical blog post has stirred a storm of controversy for the ride-hailing giant has retained an attorney, charging that her former employer is blaming her for a rash of app deletions. Susan Fowler, whose Feb. 19 essay detailed myriad examples of sexism, tweeted Thursday that "Uber names/blames me for account deletes, and has a different law firm - not Holders (sic) - investigating me."
Businesses

Nobody Likes Uber Anymore, Recent Reviews and Ratings On App Store Suggest (qz.com) 179

Alison Griswold, writing for Quartz: The public is not happy with Uber. Incensed by allegations of sexism and harassment in the company's corporate halls, people are once again #deleting Uber, while one-star ratings and withering critiques of its service are piling up in Apple's iOS App Store. From Jan. 1 through Feb. 22, Uber accumulated 4,479 one-star reviews from US users in the iOS App Store, according to data from analytics firm App Annie (the highest possible rating is five stars). Several of the most recent reviews cite the horrifying and explosive account of sexual harassment published by former Uber engineer Susan Fowler over the weekend. "Was harassed and scammed by an Uber driver for two hours in the car," reviewer "Jorwl" wrote on Feb. 20. But far more reviewers have another gripe: Uber's apparent disregard for user privacy. The monthly volume of one-star ratings for Uber in the App Store first spiked last November, after the company redesigned its app and infringed on user privacy by eliminating an iOS setting that let users grant Uber access to their location only "while using" the app. Users are now forced to choose between letting Uber track their location "always" and "never".
Communications

A New Video Shows Uber CEO Travis Kalanick Arguing With a Driver Over Fares (bloomberg.com) 187

A new video published by Bloomberg shows Uber CEO Travis Kalanick arguing with an Uber driver over fares. It all started when one of Kalanick's "companions" appears to say that she's heard that Uber is having a hard year. Bloomberg reports: That pleasant conversation between Kalanick and his friends in the back of an Uber Black? It devolved into a heated argument over Uber's fares between the CEO and his driver, Fawzi Kamel, who then turned over a dashboard recording of the conversation to Bloomberg. Kamel, 37, has been driving for Uber since 2011 and wants to draw attention to the plight of Uber drivers. The video shows off Kalanick's pugnacious personality and short temper, which may cause some investors to question whether he has the disposition to lead a $69 billion company with a footprint that spans the globe. Uber declined to comment on the video. Here's part of the conversation:
Travis Kalanick: "So we are reducing the number of black cars in the next few months."
Fawzi Kamel: "It's good."
Kalanick: "You probably saw some email."
Kamel: "I saw the email [says] it starts in May. But you're raising the standards and dropping the prices."
Kalanick: "We're not dropping the prices on black."
Kamel: "But in general."
Kalanick: "In general but we have competitors. Otherwise we'd be out of business."
Kamel: "Competitors? You had the business model in your hands you could have the prices you want but you choose to buy everybody a ride."

You can read the transcript of the conversation here via Recode.

UPDATE 2/28/17: Uber CEO Travis Kalanick has issued "a profound apology."
Businesses

Female Engineer Sues Tesla, Describing a Culture Of 'Pervasive Harassment' (theguardian.com) 360

A female engineer has spoken out about a discrimination lawsuit against Tesla that she filed last year. AJ Vandermeyden, 33, has accused Tesla of ignoring her claims of "pervasive harassment" and says she has suffered "mental distress" and "humiliation." From a report on The Guardian: Vandermeyden, 33, shared her story with the Guardian at a time when Silicon Valley is reeling from the explosive allegations of former Uber engineer Susan Fowler. Offering a rare public account of discrimination from a tech worker who remains employed at her company, Vandermeyden said her dedication to Tesla motivated her to advocate for fair treatment and reforms -- despite the serious risks she knows she faces for going public. "Until somebody stands up, nothing is going to change," she said in a recent interview, her first comments about a discrimination lawsuit she filed last year. "I'm an advocate of Tesla. I really do believe they are doing great things. That said, I can't turn a blind eye if there's something fundamentally wrong going on." Vandermeyden began at Tesla in 2013 and was eventually promoted to a manufacturing engineering position in the general assembly department, which consisted mostly of men and where she was paid less than male engineers whose work she directly took over, according to her complaint.
Transportation

Uber Says Thousands of London Drivers Threatened By English Language Test (reuters.com) 354

Costas Pitas, writing for Reuters: Tens of thousands of London private hire drivers could lose their licenses due to new English reading and writing requirements, taxi app Uber said on Tuesday at the start of a court battle to halt the plans. San Francisco-based Uber, which allows users to book journeys at the touch of a button on their smartphone, has grown rapidly in recent years but faced bans and protests around the world as regulators play catch-up with technology disrupting traditional operators. Uber launched legal action in August after public body Transport for London (TfL) said that drivers should have to prove their ability to communicate in English, including to a standard of reading and writing which Uber says is too high. "It produces the profoundest of human effects. At one extreme it will lead to the loss of livelihood," Uber's lawyer Thomas de la Mare told the High Court in London. There are over 110,000 private hire drivers in the British capital, according to TfL but around 33,000 would fail to pass their renewal test due to the new language hurdle, de la Mare told the court, citing a calculation of data provided by TfL.
Transportation

'Uber Is Doomed', Argues Transportation Reporter (jalopnik.com) 334

When an Uber self-driving car ran a red light last year, they blamed and suspended the car's driver, even though it was the car's software that malfunctioned, according to two former employees, ultimately causing Uber cars to run six different red lights. But technical issues may be only the beginning. An anonymous reader writes: Jalopnik points out that in 2016 Uber "burned through more than $2 billion, amid findings that rider fares only cover roughly 40% of a ride, with the remainder subsidized by venture capitalists" (covering even less than the fares of government-subsidized mass transit systems). So despite Google's lawsuit and other recent bad publicity, "even when those factors are removed, it's becoming more evident that Uber will collapse on its own."

Their long analysis argues that the problems are already becoming apparent. "Uber, which didn't respond to questions from Jalopnik about its viability, recently paid $20 million to settle claims that it grossly misled how much drivers could earn on Craigslist ads. The company's explosive growth also fundamentally required it to begin offering subprime auto loans to prospective drivers without a vehicle."

Last month transportation industry analyst Hubert Horan calculated that Uber Global's losses have been "substantially greater than any venture capital-funded startup in history."
Transportation

Did Silicon Valley Lose The Race To Build Self-Driving Cars? (autoblog.com) 130

schwit1 quotes Autoblog: Up until very recently the talk in Silicon Valley was about how the tech industry was going to broom Detroit into the dustbin of history. Companies such as Apple, Google, and Uber -- so the thinking went -- were going to out run, out gun, and out innovate the automakers. Today that talk is starting to fade. There's a dawning realization that maybe there's a good reason why the traditional car companies have been around for more than a century.

Last year Apple laid off most of the engineers it hired to design its own car. Google (now Waymo) stopped talking about making its own car. And Uber, despite its sky high market valuation, is still a long, long way from ever making any money, much less making its own autonomous cars. To paraphrase Elon Musk, Silicon Valley is learning that "Making rockets is hard, but making cars is really hard."

The article argues the big auto-makers launched "vigorous in-house autonomous programs" which became fully competitive with Silicon Valley's efforts, and that Silicon Valley may have a larger role crunching the data that's collected from self-driving cars. "Last year in the U.S. market alone Chevrolet collected 4,220 terabytes of data from customer's cars... Retailers, advertisers, marketers, product planners, financial analysts, government agencies, and so many others will eagerly pay to get access to that information."
Google

Alphabet's Waymo Sues Uber For Allegedly Stealing Self-Driving Secrets (bloomberg.com) 63

An anonymous reader quotes a report from Bloomberg: It took Alphabet Inc.'s Waymo seven years to design and build a laser-scanning system to guide its self-driving cars. Uber Technologies Inc. allegedly did it in nine months. Waymo claims in a lawsuit filed Thursday that was possible because a former employee stole the designs and technology and started a new company. Waymo accuses several employees of Otto, a self-driving startup Uber acquired in August for $680 million, of lifting technical information from Google's autonomous car project. The "calculated theft" of Alphabet's technology earned Otto's employees more than $500 million, according to the complaint in San Francisco federal court. The claims in Thursday's case include unfair competition, patent infringement and trade secret misappropriation. Waymo was inadvertently copied on an e-mail from one of its vendors, which had an attachment showing an Uber lidar circuit board that had a "striking resemblance" to Waymo's design, according to the complaint. Anthony Levandowski, a former manager at Waymo, in December 2015 downloaded more than 14,000 proprietary and confidential files, including the lidar circuit board designs, according to the complaint. He also allegedly created a domain name for his new company and confided in some of his Waymo colleagues of plans to "replicate" its technology for a competitor. Levandowski left Waymo in January 2016 and went on in May to form Otto LLC, which planned to develop hardware and software for autonomous vehicles.
Bug

Cloudflare Leaks Sensitive User Data Across the Web (theregister.co.uk) 87

ShaunC writes: In a bug that's been christened "Cloudbleed," Cloudflare disclosed today that some of their products accidentally exposed private user information from a number of websites. Similar to 2014's Heartbleed, Cloudflare's problem involved a buffer overrun that allowed uninitialized memory contents to leak into normal web traffic. Tavis Ormandy, of Google's Project Zero, discovered the flaw last week. Affected sites include Uber, Fitbit, and OK Cupid, as well as unnamed services for hotel booking and password management. Cloudflare says the bug has been fixed, and Google has purged affected pages from its search index and cache. Further reading: The Register, Ars Technica
Businesses

Inside Uber's Aggressive, Unrestrained Workplace Culture (cnbc.com) 192

Excerpts from Mike Isaac's report for the New York Times: Interviews with more than 30 current and former Uber employees, as well as reviews of internal emails, chat logs and tape-recorded meetings, paint a picture of an often unrestrained workplace culture. Among the most egregious accusations from employees, who either witnessed or were subject to incidents and who asked to remain anonymous because of confidentiality agreements and fear of retaliation: One Uber manager groped female co-workers' breasts at a company retreat in Las Vegas. A director shouted a homophobic slur at a subordinate during a heated confrontation in a meeting. Another manager threatened to beat an underperforming employee's head in with a baseball bat. Until this week, this culture was only whispered about in Silicon Valley. Then on Sunday, Susan Fowler, an engineer who left Uber in December, published a blog post about her time at the company. [...] One group appeared immune to internal scrutiny, the current and former employees said. Called the A-Team and composed of a small group of executives who were personally close to Mr. Kalanick, its members were shielded from much accountability over their actions. One member of the A-Team was Emil Michael, senior vice president for business, who was caught up in a public scandal over comments he made in 2014 about digging into the private lives of journalists who opposed the company. Mr. Kalanick defended Mr. Michael, saying he believed Mr. Michael could learn from his mistakes.
Transportation

Uber's Self-Driving Cars Are Now Picking Up Passengers in Arizona (theverge.com) 122

Almost two months to the day after Uber loaded its fleet of self-driving SUVs into the trailer of a self-driving truck and stormed off to Arizona in a self-driving huff, the company is preparing to launch its second experiment (if you don't count the aborted San Francisco pilot) in autonomous ride-hailing. From a report on The Verge: What's different is that this time, Uber has the blessing from Arizona's top politician, Governor Doug Ducey, a Republican, who is expected to be "Rider Zero" on an autonomous trip along with Anthony Levandowski, VP of Uber's Advanced Technologies Group. [...] Starting today, residents of Tempe, Arizona, can hail a self-driving Volvo XC90 SUV on Uber's ride-sharing platform. All trips will include two Uber engineers in the front seats as safety drivers, in the event a human needs to take over control from the vehicle's software. Uber says it hopes to expand the coverage area to other cities in Arizona in the coming weeks.
Businesses

Former Engineer Says Uber Is a Nightmare of Sexism; CEO Orders Urgent Investigation (susanjfowler.com) 917

An anonymous reader shares a report on The Verge: A former Uber engineer has published an explosive account of sexism and power struggles in the workplace, with allegations beginning from her very first official day with the company. The engineer, Susan Fowler (who left Uber in December and now works for Stripe), posted the account to her blog on Sunday, calling it a "strange, fascinating, and slightly horrifying story." It is indeed horrifying. Sexism is a well-documented problem in Silicon Valley, but the particulars of Fowler's account are astounding. She says problems began on day one, when her manager accosted her with details of his sex life: "In my first official day rotating on the team, my new manager sent me a string of messages over company chat. He was in an open relationship, he said, and his girlfriend was having an easy time finding new partners but he wasn't. He was trying to stay out of trouble at work, he said, but he couldn't help getting in trouble, because he was looking for women to have sex with. It was clear that he was trying to get me to have sex with him, and it was so clearly out of line that I immediately took screenshots of these chat messages and reported him to HR. When I reported the situation, I was told by both HR and upper management that even though this was clearly sexual harassment and he was propositioning me, it was this man's first offense, and that they wouldn't feel comfortable giving him anything other than a warning and a stern talking-to. Upper management told me that he "was a high performer" (i.e. had stellar performance reviews from his superiors) and they wouldn't feel comfortable punishing him for what was probably just an innocent mistake on his part. The things only get worse for Fowler. Read the full account of her story here. In the meanwhile, Uber CEO Travis Kalanick said the company would "conduct an urgent investigation" into the allegations, and promised to fire anyone who "behaves this way or thinks this is OK."

Journalist Paul Carr summing up the situation, says, "Uber's ability to be on the wrong side of every moral and ethical issue is bordering on magical."
Transportation

Brazil Judge Rules Uber Drivers Are Employees, Deserve Benefits (reuters.com) 131

An anonymous reader shares a Reuters report: A Brazilian judge ruled that a driver using the Uber ride-hailing app is an employee of the San Francisco-based company and is entitled to workers' benefits, adding to the global debate over labor rights for drivers on the platform. Uber said on Tuesday it would appeal the decision by Judge Marcio Toledo Goncalves, who issued the ruling late Monday in a labor court in Minas Gerais state. Goncalves ordered Uber to pay one driver around 30,000 reais ($10,000) in compensation for overtime, night shifts, holidays and expenses such as gasoline, water and candy for passengers. The consequences for Uber, if the ruling is upheld, could be far greater if more drivers follow suit and if state and federal regulators and tax agencies start treating it, as the judge suggested, as a transportation company rather than a tech firm.
Google

Engineers On Google's Self-Driving Car Project Were Paid So Much That They Quit (theverge.com) 95

According to a new report from Bloomberg, most of the money Google spent on it self-driving car project, now spun off into a new entity called Waymo, has gone to engineers and other staff. While it has helped retain a lot of influential and dedicated workers in the short run, it has resulted in many staffers leaving the company in the long run due to the immense financial security. The Verge reports: Bloomberg says that early staffers "had an unusual compensation system" that multiplied staffers salaries and bonuses based on the performance of the self-driving project. The payments accumulated as milestones were reached, even though Waymo remains years away from generating revenue. One staffer eventually "had a multiplier of 16 applied to bonuses and equity amassed over four years." The huge amounts of compensation worked -- for a while. But eventually, it gave many staffers such financial security that they were willing to leave the cuddly confines of Google. Two staffers that Bloomberg spoke to called it "F-you money," and the accumulated cash allowed them to depart Google for other firms, including Chris Urmson who co-founded a startup with ex-Tesla employee Sterling Anderson, and others who founded a self-driving truck company called Otto which was purchased by Uber last year, and another who founded Argo AI which received a $1 billion investment from Ford last week.

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