Weekly Round-Up: Lyft CEO Won’t Enter Food Delivery Market

Lyft’s CEO has explained why Lyft will not be entering the food delivery industry, keeping the focus on rideshare instead. Meanwhile, Grubhub is looking to pivot to remain relevant.

This week, read about a mini-documentary about labor laws around gig economy workers and a study about rideshare rides vs traffic congestion. Plus, are there new things in store for RSG?

Join RSG Contributor Paula Lemar as she breaks down the top headlines in this week’s rideshare news.

Lyft CEO Says He Won’t Enter Food Delivery Like Uber And That It Keeps People Homebound: ‘Loneliness Is A Killer’


Lyft commands 30-something percent of the U.S. ride-share market; Uber dominates the rest. Lyft is focused solely on ride-sharing in North America, while Uber operates abroad and offers services like food delivery and freight. Lyft still loses a lot of money, but Uber is now, at long last, profitable.

Lyft CEO Says He Won’t Enter Food Delivery Like Uber And That It Keeps People Homebound ‘Loneliness Is A Killer’
Lyft CEO Says He Won’t Enter Food Delivery Like Uber And That It Keeps People Homebound ‘Loneliness Is A Killer’

Despite Lyft’s position as a distant No. 2, CEO David Risher tells Fortune that the company could eventually become profitable by doubling down on the ride-sharing experience for both drivers and passengers.

“I’m running a ride-share business with a single-minded focus on getting people to where they want to go,” says Risher, who took the reins last April and whose résumé includes senior jobs at Microsoft and Amazon, reporting directly to founder Jeff Bezos.

My Take

It’s an interesting stance to make when most of these platforms are doing the best they can to snatch up as much of the market as possible, whether it’s rideshare, delivery, etc.

I’ve often wondered when/if Lyft would step up and follow suit, but it sounds like, for now, at least, that is not a possibility. Lyf is just going to continue focusing on rideshare.

This could end up being a good thing for Lyft if they come up with better ways to treat their drivers and give them more money. They could create more loyalty and trust among the rideshare community if their main focus is rideshare instead of other avenues.

If you’re going to have one focus, you have to be the best. And according to a recent poll we took, Lyft can do a lot better.

Grubhub VP Poykayil Talks Up “One-Stop Shop for Customers’ Demands”


We’re kicking the week off with an exclusive interview with PJ Poykayil, Grubhub’s Vice President of Logistics. PJ’s got unique insights into how to keep millions of orders moving smoothly each week and must-read thoughts on where the industry is headed.

Once you’ve digested that story, stick around for some more big news from Instacart, Pizza Hut, and Arrival.

Grubhub VP Poykayil Talks Up One-Stop Shop for Customers’ Demands
Grubhub VP Poykayil Talks Up One-Stop Shop for Customers’ Demands.


  • Grubhub VP of Logistics PJ Poykayil Shares Insights
  • Arrival Delists as EV & Logistics Startups Struggle
  • Chart Time | Pizza Preferences by State
  • lnstacart Funds New Food as Health Research

My Take

Looks like Grubhub is taking the opposite approach of Lyft. Instead of having just one main focus, they are doing their best to nail the market and be a one-stop shop for their customers.

They look to embrace technological advancements and implement them as needed to help their business by making their drivers’ and/or their customers’ lives easier.

Customers are used to on-demand service, and Grubhub is working to make sure those expectations are met if not exceeded.

A New Dawn of Workplace Regulation: The Gig Economy



On January 10, 2024, the U.S. Department of Labor (DOL) unveiled its final rule concerning the classification of workers as employees or independent contractors under the Fair Labor Standards Act.

The Regulatory Transparency Project presents a new mini-documentary, A New Dawn of Workplace Regulation: The Gig Economy.

The film features labor law experts and gig economy workers who provide insights into the advantages and challenges confronting independent contractors within the dynamic realm of the “gig economy.”

This documentary explores the historical evolution of worker classification, tracking the changes in the DOL’s rules during both the Trump and Biden administrations and examining different actions at the state level.

My Take

Check out the video for a great interview with RSG’s own Sergio Avedian.

The video does a great job of breaking down independent work and its origins. It shows how it has evolved over the years, starting with it not being a new concept – just an older one being rehashed.

People are finding it more appealing to once again be working independently from factories and businesses.

Sergio points out that most gig workers do not want to be put under a net and regulated in the way the government has issued the new regulations they are proposing.

The video points out that people want choices. Let the individuals choose what they want to be classified as employee vs independent contractor.

UT Austin Study Finds Fetii As Future Solution To Traffic Issues


Megha Patel is a senior at the University of Texas who’s tired of the traffic in Austin.

UT Austin Study Finds Fetii As Future Solution To Traffic Issues
UT Austin Study Finds Fetii As Future Solution To Traffic Issues.

“I drive myself to and from work every day,” she said. “It takes up too big of a chunk of my day that I could use for something else.”

This inspired Patel to work with other UT students on a research project this fall.

The group of five from the Technology Consulting Group — a volunteer organization of students on campus — examined the challenges brought about by traffic congestion along with the environmental impact of traditional rideshare services and single occupancy vehicles.

My Take

Harry has had the honor of interviewing Fetii CEO Matthew Iommi on his podcast.

Fetii takes rideshare to another level, where it tackles the needs of multiple people at once, removing at least five cars from the road in its place.

Rideshare was supposed to improve traffic congestion and fuel consumption, but studies show that platforms like Uber and Lyft add to the issues instead of taking away from them.

Several rides are just replacing the vehicle of their passengers for that particular trip. Fetii aims to turn that on its head.

Fetii is more of a shuttle service that can be called on as needed, as opposed to taking public transportation. They can accommodate up to 15 passengers.

RSG Expands Social Media Reach

You may not have realized it, but the Rideshare Guy is now on TikTok. Some recent posts include:

Uber CEO Dara Khosrowshahi claims driver pay is up about 30% over the past 5 years

Uber CEO’s $50 MILLION Stock Bonus?!

Lyft Still Putting Drivers In Timeout & Sending Threatening Emails For Cancelling Rides

Follow the RSG TikTok page for regular updates at your fingertips.

RSG in the News This Week

Must Listen Or Watch RSG Content