đź“° Colorado Governor Vetoes Rideshare Safety Bill

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Weekly Roundup: Colorado Governor Vetoes Rideshare Safety Bill

Colorado governor vetoes rideshare safety bill. Uber drivers unknowingly used as drug mules. Tesla's Full Tesla begins driverless robotaxi testing in Austin. Uber CEO reveals his son doesn’t have a license.

We break it all down for you.

Colorado Governor Vetoes Rideshare Safety Bill

Image source: "200102-Z-ꍳ-1104" by CONG1860 is marked with CC0 1.0.

SOURCE – Colorado Sun

Colorado Governor Jared Polis vetoed House Bill 1291, a measure intended to improve the safety of rideshare. The bill aimed to enhance passenger and driver safety through stricter background checks, recording provisions, and operational restrictions, but faced fierce opposition from Uber and Lyft.

  • Uber threatened to cease operations in Colorado if the bill became law, while both companies argued the regulations were unworkable and costly.

  • Polis cited concerns about privacy conflicts, unclear recording requirements, and potential operational challenges as reasons for his veto.

  • The bill was sponsored by Rep. Jenny Willford, who went public about her sexual assault by Lyft driver Mukhammadali Mukadyrov, during a ride in February 2024.

Uber Drivers Unknowingly Used as Drug Mules in Atlanta Metro Area

SOURCE – WSB TV

An investigation revealed that Uber Courier delivery drivers in metro Atlanta are being exploited by criminals who use the package delivery service to transport drugs without the drivers’ knowledge. Police reports show multiple incidents where drivers discovered suspicious packages containing marijuana and other drugs, with some drivers calling police when they detected strong odors or became suspicious.

  • The FBI confirms that drug cartels are increasingly using rideshare platforms to move contraband while remaining anonymous, as these services provide criminal organizations with access to drivers’ personal information including names, vehicle details, and license plates.

  • Three documented police incidents include a March traffic stop where K9 units found marijuana, oxycodone pills, and baking soda in a driver’s car, and a January case where a driver brought 68 grams of marijuana to police headquarters after refusing to complete the delivery.

  • If you are an Uber Courier delivery driver and are suspicious about a package you are delivering, it is always a good idea to contact Uber support or local law enforcement to see how to proceed with the delivery.

Tesla Begins Driverless Robotaxi Testing in Austin Just Days Before Launch

SOURCE – Elecrek

Tesla CEO Elon Musk announced that the company has been testing its robotaxi service on Austin public streets without safety drivers for “several days” ahead of its planned June 12 launch. Reports indicate Tesla has failed to communicate important details about the robotaxi rollout to local Austin authorities, raising questions about regulatory coordination and approval processes.

  • Some observers say Tesla’s camera-based system is less safe than Waymo’s LiDAR, as highlighted by an incident where a Tesla on full self-driving ran a red light.

  • Musk claimed the testing is proceeding “a month ahead of schedule” with “no incidents,” though this timeline suggests Tesla may not have originally planned extensive driverless testing before launching to paying customers.

  • Tesla plans to deploy a small fleet of 10-20 Model Y vehicles for the service, with Musk also announcing that Tesla will conduct its first autonomous delivery from factory to customer next month.

Uber CEO’s Son Doesn’t Have His Driver’s License, Relies on Rideshare Instead

Image source: "775208326GB00037_TechCrunch" by TechCrunch is licensed under CC BY 2.0.

SOURCE – Business Insider (Paywall free)

Uber CEO Dara Khosrowshahi revealed that his adult son still hasn’t obtained his driver’s license because he can easily get around using rideshare. This personal anecdote reflects a broader cultural shift among young people, with only 33% of eligible drivers aged 19 or under having licenses in 2023, compared to 45% in 2003.

  • The trend of delayed driver’s licenses is part of a broader pattern where Gen Z is postponing traditional life milestones, including first romantic relationships and entering the workforce, due to both personal choice and economic constraints.

  • While Uber doesn’t track specific data on how many people avoid car purchases due to ride-hailing services, Khosrowshahi confirmed that competing with car ownership remains “the big Kahuna” target for the company’s business strategy.

DoorDash Raises $2 Billion in Convertible Bonds to Fund Major Acquisitions

Image source: "DoorDash App" by ajay_suresh is licensed under CC BY 2.0.

SOURCE – DoorDash Newsroom

DoorDash announced a $2 billion convertible bond offering to finance its recent $5 billion acquisition spree, including the $3.9 billion purchase of London-based Deliveroo and the $1.2 billion acquisition of hospitality tech company SevenRooms.

  • The five-year notes will fund potential future acquisitions, share buybacks, and related hedging transactions. The deals reflect ongoing consolidation in the delivery industry following a slowdown from pandemic-era highs.

  • What does this mean for DoorDash couriers? This massive capital raise and acquisition strategy could benefit DoorDash drivers by expanding delivery opportunities and earning potential. However, increased market consolidation might reduce competition between platforms that could otherwise drive up driver compensation rates.

RSG Founder Harry Campbell Appears on Farzad Podcast to Talk Rideshare vs. Robotaxis

SOURCE – YouTube

Harry Campbell, founder of The Rideshare Guy, appeared on the Farzad Podcast to discuss how autonomous vehicles will reshape the rideshare industry. Harry explored the competitive dynamics of Uber and Lyft against emerging autonomous vehicle companies, like Waymo and Tesla. Watch the full podcast on YouTube!

QUICK HITS

  • Lyft CEO David Risher purchased another $100K worth of Lyft shares. – Investing.com

  • Lyft is expanding to the U.S. territory of Puerto Rico. – Lyft Newsroom

  • Want to learn more about the robotaxi industry? Subscribe to The Driverless Digest, our new newsletter and podcast dedicated to the future of autonomous vehicles.

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