Not a stranger to controversy, US-based Uber's latest brush with noteriety is the most serious one yet, at least in India.
After a driver associated with the taxi-hailing service has been accused of raping a customer in Delhi, it appears that this is something the company is going to find it difficult to wriggle out – with its business and reputation intact.
While this is still a developing story, initial reports suggest Uber did not even meet basic safety criteria, such as installing a GPS tracker in the accused driver's cab or doing requisite background checks on him.
Media reports have quoted Uber drivers as saying, anonymously of course, that the cab service is so busy tying up with drivers, in its aim to become number one, that safety procedures have been given a short shrift.
According to latest developments, Delhi government has already banned the service in the wake of the scandal.
This is not the first time Uber has made headlines for the wrong reasons.
Earlier, the Reserve Bank of India came down hard on the service for facilitating credit card payments while bypassing the mandatory two-step verification process mandated for transactions in India.
Uber complied with the law by phasing out credit card payments system and tying with prepaid wallet service PayTM.
The fast-growing cab service that started in the US today operates in 45 countries and over 200 cities. But along the way, it has made as much news for controversies as it has for its savvy promotion techniques, heavy discounts and enviable success.
According to Wikipedia, the more serious accusations against the firm including sabotaging a US rival -- in which Uber employees would book its cabs only to cancel them later – threatening journalists who have written against it, and flouting privacy laws. The company has also faced protests from local cab drivers in various cities and faced regulatory opposition in about 12 countries.
But the latest Delhi incident appears it will erode the ambitious young company's brand equity in a serious way and it will soon have to decide how fast it wants to achieve success and at what cost.
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