Weekly Roundup: Lyft Will Reveal Tips and Timeliness Before Matching Drivers with Passengers

Waymo partners with Lyft for Nashville robotaxi expansion, sending Uber stock tumbling. The Justice Department sues Uber for $125 million over disability discrimination allegations. Rideshare newcomer Empower reports strong growth, while Lyft adds features letting drivers see rider tipping history before accepting rides.

We break this all down for you.

Lyft Will Reveal Tips and Timeliness Before Matching Drivers with Passengers

SOURCE – Yahoo Finance

Lyft is rolling out a key update to its driver app, allowing drivers to see if a rider tips and whether they’re typically on time before being matched for a ride. This transparency move is designed to improve driver satisfaction, boost efficiency, and potentially reward riders who consistently tip or keep drivers waiting. The feature represents Lyft’s effort to give drivers more control over their earnings potential while encouraging better rider behavior.

• Drivers can now weigh both tipping history and punctuality in their decision to accept a ride.

• Lyft states this gives drivers more control and helps create a fairer platform for the gig economy.

• Rider privacy concerns are being discussed, but Lyft maintains these insights reflect past behavior only, not specific dollar amounts or recent tips.

Waymo and Lyft Make Shockwaves By Announcing a Nashville Robotaxi Expansion

SOURCE – Sherwood News

Lyft and Waymo are teaming up to bring Waymo’s robotaxis to Nashville, stunning investors and industry observers. Under the agreement, Lyft will manage end-to-end fleet operations (using its Flexdrive unit), while riders will be able to book Waymo’s robotaxis through the Waymo app initially and then the Lyft platform later in 2026.

• This marks Waymo’s first commercial partnership with Lyft. Waymo previously collaborated with Uber in Atlanta and Austin, with third-party providers managing the fleet operations.

• The news triggered a sharp reaction on Wall Street, with Lyft stock surging 29% in premarket trading while Uber shares plunged nearly 5% on investor worries about Uber’s future prospects with Waymo.

• Lyft will invest in a purpose-built facility in Nashville to handle charging, maintenance, and depot operations for Waymo’s Nashville fleet.

Justice Department Sues Uber Over Disability Discrimination

SOURCE – CBS News

The Department of Justice has filed a lawsuit against Uber, alleging systemic discrimination against passengers with disabilities, including blind riders and those with mobility devices. The lawsuit claims that Uber failed to adjust policies, routinely denied rides, charged inappropriate cleaning and cancellation fees, and left customers stranded, violating the Americans with Disabilities Act. Uber disputes the allegations and emphasizes strict compliance policies, but the DOJ’s complaint cites over a dozen specific instances and seeks an end to these practices plus damages for affected riders.

• The DOJ says Uber often refused modifications or proper driver training to help people with service animals and wheelchairs.

• Uber stresses that violations result in permanent driver account deactivation and points to new reporting hotlines and training. Complicating enforcement, Uber drivers operate as independent contractors, and some report passengers misusing ADA protections to bring pets or other non-service animals in vehicles.

• Uber already settled a previous lawsuit in 2022 about discrimination over wait time fees; this new suit broadens discrimination claims against the company.

Rideshare Upcomer Empower Posts Strong Growth

SOURCE – Seeking Alpha

Upstart rideshare app Empower reported it has grown 25% over the past six weeks, signaling its viability against rideshare giants Uber and Lyft. Seeking Alpha reports that Empower offered 250,000 rides last week, an impressive number for only being in four markets. However, still a far cry from Uber’s weekly rate of ~85 million trips per week in the U.S.

• Analysts suggest Empower’s focus on driver pay may accelerate pressure on Lyft and Uber to revisit their own policies. The company credits its expansion to its unique business model focused on driver empowerment and lower commission structures.

• Instead of taking a high commission on each trip like the rideshare incumbents, Empower charges drivers a monthly fee for access to its platform that matches riders with drivers. However, some local governments have taken legal action against Empower, arguing that the company operates without proper registration as a licensed TLC provider.

• Early reviews note high satisfaction among both drivers and riders, though scalability in larger cities remains to be proven.

Uber Accuses Philly Law Firm of Fraudulent Injury Claims

SOURCE – Philadelphia Inquirer

Uber has filed a federal lawsuit against Philadelphia law firm Simon & Simon accusing them of conspiring with doctors to produce fraudulent medical records. The lawsuit says the firm inflated settlements in dozens of crash-related lawsuits, alleging a pattern of repeat diagnoses, “cookie-cutter” expert reports, and claims for lifelong care that conflict with initial police and medical records.

• Uber claims expert exams were often rushed, with reports sometimes signed before the patient’s visit.

• The lawsuit claims the same orthopedic surgeon reportedly wrote nearly 1,300 patient exams in three years, billing over $1.5 million to Simon & Simon clients.

• Uber has also filed similar lawsuits against major legal firms in Los Angeles and New York making similar claims.

Uber Sued by DOJ, Lyft Caught Shaving Fares & Cash Trip Disasters Exposed | Show Me The Money Club

SOURCE – YouTube

On this week’s episode of “Show Me the Money Club,” RSG Senior Contributors Sergio Avedian and Chris Gerace sit down with Ryan Green, CEO of Gridwise for an interview. Later, Sergio and Chris talk about how faulty GPS technology is leading to deactivations for Uber drivers, as well as the recent trend of both Uber and Lyft “shaving” fares. Watch the YouTube replay to learn more!

QUICK HITS

• Uber announced its first-ever investment in drone delivery through a strategic partnership with Flytrex, launching aerial food delivery pilots in select U.S. markets by year-end 2025, though the investment amount remains undisclosed. – CBS News

• Deliveroo CEO Will Shu will step down from the company he founded, after DoorDash completes its acquisition of the brand. – CNBC

• The Harvard Business Review did a deep dive podcast into Lyft’s turnaround under the leadership of CEO David Risher. – HBR

• 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.

Must Listen Or Watch RSG Content

Here are this week’s featured podcast episode and YouTube videos:

• RSG266: Tower Mobility: The Uber Partner Paying Drivers $25/Hour + Benefits

• Lyft “Glitches” STILL Changing Receipts After Trips?!

• How I Made $225 in Passive Income With Play Octopus

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