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Articles > FTC Lawsuit Targets Uber's Subscription Service for Deceptive Practices

FTC Lawsuit Targets Uber's Subscription Service for Deceptive Practices

By KlickAnalytics Data Insights  |   April 21, 2025 08:04PM ET

Key Points

- FTC files lawsuit against Uber for deceptive billing and cancellation practices
- Allegations claim Uber charged consumers for Uber One subscription without consent
- Commission's scrutiny of tech industry to continue under Trump administration
- FTC accuses Uber of misleading subscribers with deceptive claims
- Meta Platforms and Alphabet face potential breakups in antitrust cases

The Federal Trade Commission (FTC) has taken legal action against Uber, filing a lawsuit on Monday that accuses the company of engaging in deceptive practices related to its subscription service, Uber One. According to the allegations, Uber charged consumers for the Uber One subscription without obtaining their consent and made it difficult for them to cancel the service. This move by the FTC is seen as a signal that the commission's watchful eye on the tech industry will persist under the Trump administration.

In a press release, the FTC stated that it believes Uber violated laws with its handling of billing and cancellation practices for the Uber One subscription. The commission's lawsuit alleges that Uber signed up some customers for the subscription without their knowledge and made misleading claims about the service. This action demonstrates the FTC's commitment to protecting consumers and holding companies accountable for their business practices.

In addition to the legal action against Uber, the FTC is also closely monitoring other tech giants. Meta Platforms (formerly Facebook) and Alphabet (Google) are facing potential breakups within their business operations as part of ongoing antitrust cases. Lance Ulanoff, a tech analyst, suggests that Alphabet's Google search could be vulnerable to prosecution if it is found to have used aggressive tactics to maintain its dominant market position.

Overall, the FTC's lawsuit against Uber highlights the regulatory agency's dedication to ensuring fair and transparent practices in the tech industry. With ongoing scrutiny of companies like Uber, Meta Platforms, and Alphabet, the FTC is sending a clear message that deceptive practices and anticompetitive behavior will not be tolerated.

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