Uber Technologies has been fined €825 million, or $966 million, by the Dutch Data Protection Authority for using automated systems to suspend or deactivate drivers without adequate information or meaningful human oversight, a penalty the company disputes and plans to appeal. The case covers incidents from 2018 to 2022, including automated suspensions of drivers suspected of fraud and some deactivations linked to low customer ratings. The fine is reportedly the second-largest ever issued under the EU's GDPR, behind Meta's €1.2 billion penalty in 2023. Uber argues the penalty is disproportionate and says its current policies include human reviews and mechanisms for drivers to challenge suspensions. While the near-term impact may be manageable if the fine is reduced on appeal, the longer-term risk lies in regulators forcing greater human oversight of Uber's algorithms, which could raise compliance costs and pressure margins.
Uber Technologies IncDutch regulator fined Uber €825M for automated driver deactivations, with appeal pending but compliance costs risk.
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