According to a report from The Wall Street Journal, FBI has opened an investigation into Uber of its “Hell” program. In this program, the company is alleged to track Lyft drivers from 2014 to 2016. The investigation was initiated by FBI’s New York office in conjunction with the Manhattan US attorney’s office.
In the Hell program, it involved Uber creating fake rider accounts on Lyft. The company then used those accounts to track into Lyft’s service, where it monitored things such as how many Lyft drivers were available in certain areas at a given time.
With that type of information, Uber can fill all the gaps in Lyft’s coverage, in real time. This of course would be devastating to Lyft. Another part of the program was used to identify drivers that used both services. Once Uber learned this, they used this information to offer extra incentives to Uber drivers and lure them away from Lyft.
Uber discontinued use of the Hell program in 2016. Uber is now under investigation from the FBI. In addition, the company is currently facing a class action lawsuit from former Lyft driver.
This investigation definitely won’t sit well with Uber’s new CEO in-charge.
