Uber accused DoorDash of stifling competition. DoorDash says merchants just like them more.

Core Viewpoint - DoorDash is seeking to dismiss Uber's anti-competition lawsuit, labeling it as a "cynical and calculated scare tactic" and asserting that it reflects Uber's inability to compete effectively in the market [1][4]. Group 1: Lawsuit Background - Uber filed a complaint against DoorDash in February, accusing it of anti-competitive practices that inflate prices for restaurants and customers, claiming DoorDash has created an unlawful scheme to stifle competition with Uber Eats [2]. - The complaint highlights that restaurants feel powerless against DoorDash's market dominance, which limits their ability to choose delivery services that best suit their needs [3]. Group 2: DoorDash's Response - DoorDash denied the accusations, arguing that Uber is misapplying legal statutes typically reserved for employee non-compete disputes to its competition claims [4]. - The company contends that Uber's lawsuit stems from frustration over its market performance, asserting that merchants prefer working with DoorDash, which is a sign of fair competition rather than grounds for a lawsuit [4]. Group 3: Market Position - According to Earnest Analytics, DoorDash holds a significant market share of 60.7% in the food delivery sector, with Uber Eats at 26.1% and Grubhub at 6.3% [3]. Group 4: Additional Legal Challenges - DoorDash is not the only legal challenge Uber faces; the Federal Trade Commission (FTC) has also sued Uber, alleging that it added users to its Uber One subscription without consent and failed to deliver promised savings [6]. - Uber's CEO expressed confusion over the FTC's lawsuit, emphasizing the ease of signing up for Uber One and the high renewal rates of over 90% [7].