Uber Eats has agreed to a $3.5 million resolution with New York City regulators after an investigation found delivery partners were underpaid on thousands of orders. The company will distribute $3.15 million in restitution to roughly 48,000 couriers—average payments of $65 per worker—and pay an additional $350,000 in civil penalties and administrative fees. The settlement follows findings that Uber Eats failed to properly calculate guaranteed minimum earnings on orders placed between January 2023 and December 2024, prompting the New York City Department of Consumer and Worker Protection to impose corrective measures including revised pay-calculation algorithms and quarterly audits.

Uber’s full fiscal year results, due next week, will be closely scrutinized for evidence that recent profitability headwinds were transitory rather than structural. After a third-quarter operating margin contraction to 4.2%, investors will look for restored margin expansion in mobility and delivery segments. A bullish scenario hinges on a positive update to the Nvidia partnership, which could offset cost pressures from driver incentives and higher insurance expenses. Consensus estimates for adjusted EBITDA call for a 12% year-over-year increase, setting the stage for management commentary on free-cash-flow breakeven targets for 2026.

Uber has committed up to $250 million to Canada’s Waabi in a funding package that includes an initial $750 million investment, contingent on deployment milestones. Founded by former Uber AI chief Raquel Urtasun, Waabi aims to leverage its “simulation-first” autonomy platform to scale 25,000 robotaxis over the next five years. With this deal, Uber now partners with more than 20 autonomous-vehicle developers worldwide, reinforcing its strategy of diversifying AV bets rather than relying on a single technology provider. Management highlighted that Waabi’s closed-course mixed-reality testing pipeline accelerates safety validation across urban environments, potentially shortening regulatory approval cycles.