- Uber is plagued by a long list of scandals, ranging from reports of sexual harassment to aggressive strategies to take down the competition.
- The company has recently been in the news for the wrong reasons, dealing with sexual harassment claims, the loss of executives including its CEO, and most recently a cyber attack cover-up.
- However, Uber has been creating controversy far before 2017.
Uber is in hot water after a cover-up scandal involving a major security breach.
The ride-hailing company paid hackers $100,000 to cover up a cyberattack that exposed 57 million people’s personal data in October 2016, Bloomberg reported Tuesday. And, while passengers and drivers only found out this week, ex-CEO Travis Kalanick reportedly found out about the breach last year.
This is far from the first time executives’ decisions have blown up in Uber’s face.
Uber’s scandals range from arguably unethical business strategies to sexual assault allegations. Here’s an attempt to understand exactly what Uber has done to become a $68 billion company.
Biz Carson contributed to an earlier version of this story.
October 2010: UberCab receives its first cease and desist
According to New York Magazine’s extensive list of Uber’s ups and downs, the company’s first scandal came before the startup changed its name from UberCab to Uber. Four months after launching in San Francisco, the San Francisco Metro Transit Authority & the Public Utilities Commission of California issued a cease and desist order.
UberCab changed its name to Uber. Six years later, San Francisco would have roughly 45,000 Uber drivers, compared to just 2,026 licensed taxis.
January 2012: Uber gets slammed in its first major surge pricing backlash
Uber told customers that prices would increase due to increased demand on New Years Eve. However, people were still furious when they were forced to pay three to six-times the normal amount to get a ride.
November 2012: Prices soar during Hurricane Sandy
With most public transportation down in New York City, Ubers were in high demand, leading to prices doubling. After being accused to price gouging, the company made prices revert back to normal, while continuing to pay drivers two times the rate.