Bloomberg: ‘Google Is Developing Its Own Uber Competitor’

Brad Stone, reporting for Bloomberg:

Google Ventures, the search giant’s venture capital arm, invested $258 million in Uber in August 2013. It was Google Ventures’ largest investment deal ever, and the company put more money into Uber’s next funding round less than a year later. Back then, it was easy for observers to imagine Google partnering closely with Uber, or even one day acquiring it. David Drummond, Google’s chief legal officer and senior vice president of corporate development, joined the Uber board of directors in 2013, and has served on it ever since.

Now there are signs that the companies are more likely to be ferocious competitors than allies. Google is preparing to offer its own ride-hailing service, most likely in conjunction with its long-in-development driverless car project. Drummond has informed Uber’s board of this possibility, according to a person close to the Uber board, and Uber executives have seen screenshots of what appears to be a Google ride-sharing app that is currently being used by Google employees. This person, who requested not to be named because the talks are private, said the Uber board is now weighing whether to ask Drummond to resign his position as an Uber board member.

Sounds familiar.

★ Tuesday, 3 February 2015