Justice Department Investigates Uber over ‘Greyball’ Software

By Paul Riegler on 4 May 2017
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Uber is in trouble again, but this time with the feds.

The U.S. Department of Justice launched a criminal investigation into the ride-sharing company’s use of a software tool designed to allow it to avoid scrutiny by local regulators and other authorities in places where its service faced regulatory challenges.

The tool, known as “Greyball,” was disclosed in a New York Times article earlier this year and the company said in March it would stop using the software.

Greyball was not used merely to circumvent regulators. Uber admitted it had designed it to prevent its systems from dispatching rides to competitors that might try to disrupt its service and also to keep clear of passengers who might, in its view, “physically harm drivers.” The company also said it had used it to avoid “opponents who collude with officials on secret ‘stings’ meant to entrap drivers.”

Both Uber and the Department declined to comment on the investigation.

(Photo: Accura Media Group)

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