Uber New CEO On London Decision: Company Is Paying For 'Bad Reputation'
Uber’s new CEO, former Expedia CEO Dara Khosrowshahi, said the company is paying for its “bad reputation,” according to an internal email shared by New York Times reporter Mike Isaac on Twitter.
The comments come after Transport for London (TFL) announced Friday it would not renew Uber’s license to operate in the city.
“TfL considers that Uber's approach and conduct demonstrate a lack of corporate responsibility in relation to a number of issues which have potential public safety and security implications,” the transportation department said in its announcement.
TFL also pointed out Uber’s use of its controversial "greyball" tool, which collected data to evade authorities and operate its services illegally. However, Tom Elvidge, General Manager of Uber in London, said in a statement that an “independent review found that ‘greyball’ has never been used or considered in the UK.”
In an email sent to staff about London’s decision, Khosrowshahi said he was “hugely disappointed in the decisions by London’s Mayor and Transport for London.”
Khosrowshahi said it might be easier to say the city’s refusal to renew the company’s license is unfair, but that the “truth is that there is a high cost to bad reputation.” The company has been through a series a scandals, including sexual harassment allegations and drug use.
Khosrowshahi, who took over after Uber co-founder Travis Kalanick stepped down, said what people think about the company really matters and that it now has to act with integrity on all things. He also pointed out that operating at a global scale means an incident in one country can affect how other countries view the startup.
Khosrowshahi wrote:
“The truth is there is a high cost to a bad reputation. Irrespective of whether we did everything that is being said about us in London today (and to be clear, I don’t think we did), it really matters what people think of us, especially in a global business like ours, where action in one part of the world can have serious consequences in another.
Going forward, it’s critical that we act with integrity in everything we do, and learn how to be a better partner to every ity we operate in. That doesn't’ mean abandoning our principles -- we will vigorously appeal TfL’s decision -- but rather building trust through our actions and our behavior. In doing so, we will show that Uber is not just a really great product, but a really great company that is meaningfully contributing to society, beyond its business and its bottom line.”
Khosrowshahi also pleaded London to work with Uber to “make things right.”
“3.5 million Londoners who use our app, and more than 40,000 licensed drivers who rely on Uber to make a living, will be astounded by this decision,” Elvidge said Friday. “If this decision stands, it will put more than 40,000 licensed drivers out of work and deprive Londoners of a convenient and affordable form of transport.”
Uber began a petition to keep the company in London. The ride-hailing service had 572,496 supporters by Saturday afternoon, surpassing the previous 500,000 goal set on Friday. The current goal now is to get 1 million signatures.
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