Did Microsoft throw its credibility under the bus by investing in UBER?

Microsoft is investing heavily in its clouds services. Companies and governments have to hand over their most valuable and sensitive assets to Microsoft. For organisations, it is not only important to know in which jurisdiction Microsoft cloud services operate, but it is also important to know Microsoft’s corporate values in regard to local rules and laws with respect to privacy and confidentiality. Microsoft’s 100 million investment in UBER shows Microsoft’s contempt for the rule of law and local regulations. Something one could not ignore when considering the use of Microsoft cloud services.  

There has been a lot of discussion about the disruptive company UBER. The image of the company is carefully framed as a rebellious start up from California. With 9 billion in cash investments, the company is part of the big US corporate family. UBER is definitely not a small rebellious startup.
It is naive to believe that the company started a disruptive service without realising, it will run into problems with local law enforcement. Before 9 billion cash is invested, investors know the business model, including the legal challenges and implications. The UBER business model is based on deliberately undermining the rule of law and tax evasion, investors and business owners are absolutely aware of this before they pour 9 billion into the company.
The company proclaimed that it has a very efficient model of ride sharing, we used to call hitch hiking. In reality the company exploits a world wide network of illegal taxi services, based on tax and local transportation law dodging. Continue reading