Uber Takes DoorDash to Court Over ‘Coercive' Restaurant Tactics

Core Argument - Uber has filed a lawsuit against DoorDash, accusing it of coercive behavior that harms restaurants and consumers [1][2] Group 1: Allegations Against DoorDash - The lawsuit claims that DoorDash pressures restaurants to exclusively use its delivery service, threatening higher commission rates for those that also partner with Uber Eats [1][2] - Uber alleges that DoorDash's tactics lead to reduced choices for restaurants and consumers, resulting in higher prices and lower service quality [2] - Specific instances are cited where DoorDash allegedly intervened to prevent restaurants from using Uber's delivery services by threatening increased commission rates [3][4] Group 2: Market Context - DoorDash held a 63% share of the national delivery market last year, while Uber had 25% and Grubhub had 6% [5] - The pandemic initially benefited companies like DoorDash, but many have struggled to maintain revenue post-pandemic, as evidenced by Grubhub's sale at a significantly reduced price [5] Group 3: Company Developments - DoorDash reported an increase in consumer orders from both restaurant and retail partners, with 25% of its monthly active users ordering from retailers as of December last year [6] - Uber has seen growth in its Uber One membership program, adding 5 million users in the most recent quarter, totaling 30 million members [8]