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How tech giants are ducking California's new laws

Illustration of code with California outline missing.
Illustration: Eniola Odetunde/Axios

California has two new laws on the books aimed at reining in tech giants. Some of the biggest companies they're aimed at plan to dodge them.

Why it matters: Powerful, moneyed tech firms are always going to have the will and the resources to try to evade regulation. That puts the onus on legislators to craft smarter, tighter laws with fewer loopholes.

Uber rolls out changes to California ride-hailing in wake of new law

Photo: Alastair Pike/AFP via Getty Images

Uber is rolling out a number of changes to its ride-hailing service in California due to a new state law with stricter requirements to classify a worker as an independent contractor, according to a new customer email.

Why it matters: Uber has said it doesn't believe the law will force it to reclassify drivers because its core business is technology, not transportation, but it's unsurprising the company is taking steps to give (in practice and appearance) more autonomy to its drivers to protect itself.