Ballot Measure Rejected, Uber and Lyft Pulling Out of Austin

Ride-sharing services Uber and Lyft are planning to suspend their operations in Austin, Texas after voters rejected the Proposition 1 ballot measure over the weekend. The initiative would have allowed the two services to set their own regulations, and essentially bypass a city ordinance that requires fingerprint background checks for drivers, which the companies argued were “burdensome and unnecessary,” reports Re/code. Lyft and Uber are pausing operations in Austin as a result of the loss, and suggest they may need to take the same action in other markets with similar laws.

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