Regulatory issues? Yeah, those can sit in the trunk. Uber and Lyft have declared war on each other in the battle for rideshare supremacy. The shot heard on your app started early this month when Uber mandated that its drivers could not also moonlight for a competitor. I’d give you three guesses on the competitor, but its cars sport a pink mustache.
Uber is actually hiding behind regulations in this salvo, citing New York Taxi and Limousine regulators as the reason behind prohibiting them from also driving for Lyft. Funny, they seem to wave off any regulatory issues when they drive into a city.
The Taxi and Limousine regulators are hitting back, saying there’s no such regulation. Drivers can work for multiple companies in the jurisdictions they regulate. So, I guess they will need a new argument.
The company went a step further according to Lyft. Data provided to CNN shows 177 Uber employees ordering and canceling 5,000 rides across the country. Those that used the service often took short, low-profit trips where they would try to poach Lyft drivers to Uber.
Uber is firing back at the allegations, suggesting to the NY Times that Lyft was self-sabotaging in order for Uber to acquire Lyft. Talking to the NY Times, Uber talked about Lyft investors wanting an exit. “A number of Lyft investors have recently been pushing Uber to acquire Lyft. One of their largest shareholders recently warned that Lyft would ‘go nuclear’ if we do not acquire them.”
Lyft fired back saying the only strategy they had was growing market share at 30 percent month-over-month.
Yes, the children need to be separated and keys taken away for a bit. Each service also unveiled a new carpool service that gives riders a discount along shared routes.
Hopefully this will cool down, and not resort in one company doing something stupid to the other. Judging by the accusations flying, it doesn’t look like a ceasefire is in the cards anytime soon.