Biz Break: Uber looks to be facing ride-sharing challenge from Google

Top Of The Order:  

Uber, Uber, Everywhere: Sometimes, you have those days where one company just rules all the news and no matter what you do you can’t get away from it. Tuesday was that day, and Uber was that company.

One day after Alphabet senior vice president of corporate development David Drummond stepped down from Uber’s board or directors, Uber and Alphabet’s Google were at it, this time, over what it is that has made Uber worth a reported $62 billion: the ride-sharing market.

According to a report in the Wall Street Journal, Google is going to launch its own Uber rival in San Francisco this fall that is based around a pilot program the company has been running around its Mountain View headquarters. The service will involve using the Waze traffic navigation app that Google acquired in 2013. The Journal said the Google ride-sharing plan in San Francisco will let anyone who uses Waze be a driver, but that only 25,000 employees of some large San Francisco companies will be able to use the service and they will be limited to two rides per person, per day.

The Google plan also aims to undercut what Uber and its rival, San Francisco-based Lyft, charge riders. The current pilot program charges riders no more than 54 cents a mile.

As if all of that weren’t enough for Uber for one day, the company also had a shakeup in its executive ranks, as president and co- founder Ryan Graves stepped down. Graves is being replaced by Target Chief Marketing Officer Jeff Jones.

Middle Innings:

Cisco Goes Shopping: Less than two weeks after Cisco System reported its quarterly results and said it would cut 5,00 jobs, the networking-equipment giant is adding something to its business.

That something is Container X, which, while it might sound like a character from a Marvel superhero movie, is actually a San Jose company that does, well, container technology.

So, what is that? Well, let’s let Cisco tell it like it is:

“Containers provide an easy, flexible way to build, test, deploy, and move applications across a variety of environments, including public clouds, private clouds and hybrid environments. Today the container space is in an emerging phase with Enterprises experimenting with adoption but at the same time wanting to see the level of security, manageability and interoperability they need within their IT environment.”

Um…What was the middle part there? Oh, in a nutshell, containers are a type of software used to build and manage applications in cloud-based situations. Which is just one of the directions where Cisco is putting more of its attention these days.

Apple Roundup: Not to repeat ourselves, but in case you missed it, Apple said it would appeal a $14.5 billion back-tax ruling by the European Commission, Google agreed to pay Apple $5.5 million for sneaking around the company’s privacy settings and the company is also facing a class-action suit over what is being called “touch disease” involving its iPhone 6 and iPhone 6 Plus smartphones.

Bottom Of The Lineup: 

Here’s a look at how some leading Silicon Valley stocks did Tuesday…

Movin’ On Up: Gains came from Cypress Semiconductor, Rocket Fuel, Gigamon, Barracuda Networks and Oclaro.

In The Red: Decliners included Solar City, Veeva Systems, Imperva, Accuray and Quotiet Technology.

The tech-focused Nasdaq Composite Index shed 0.2 percent to close at 5,222.

The blue chip Dow Jones Industrial Average gave up 0.3 percent to end the day at 18,454.

And the broad-based Standard & Poor’s 500 Index was trimmed by 0.2 percent to slip to 2,176.

Quote Of The Day: “I think it’s time for me to hang up the Speedo and put on my dancing shoes and get in that ballroom.” — Olympic swimmer and, apparently, former Speedo wearer Ryan Lochte. On Tuesday, Lochte was named to the new celebrity cast of “Dancing With The Stars” along with the likes of former Texas Gov. Rick Perry, Maureen McCormick, aka Marcia Brady from “The Brady Bunch” and the one and very only Vanilla Ice.

Sign up for the 60-Second Business Break newsletter at

Photo: Uber logo in front of the company’s San Francisco headquarters. (Photo by Justin Sullivan/Getty Images)


Tags: , , , , ,


Share this Post