Uber CEO Resigns at Board's Urging

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Last week, after former US Attorney General Eric Holder delivered a scathing report that blasted Uber's culture for rampant sex harassment, a woman sued the company, alleging an executive had shared her medical records with top brass after an Uber driver raped her.

Following a series of PR scandals and public draggings by the media, Uber CEO Travis Kalanick said in a statement Tuesday that he would resign as the ride-hailing company's CEO, the New York Times reports.

The development comes after Travis Kalanick on Wednesday resigned as Uber CEO as shareholders demanded a change in leadership. The idea of a $68 billion company that employs 14,000 having no one at the helm is unsettling at the very least, although a corporate overhaul seems mandatory to redefine the culture that came under heavy criticism under Kalanick's leadership. Also, federal authorities are investigating Uber's use of a phony app that thwarted efforts by city inspectors to see if the company was operating illegally.

Investors are also calling on Uber to hurry up and hire a chief financial officer - a position that's been vacant since 2015. "But they'll still get to have his voice, have his energy, have his insight", Gordon said.

To help Uber grow fast, Kalanick seemed to pick fights just about everywhere. Kalanick and his allies, including cofounder Garrett Camp and early Uber employee Ryan Graves, are said to dominate the board's super voting seats. The company began searching for a chief operating officer.

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Kalanick's resignation is yet another dramatic development in a string of recent woes for Uber, which include workplace sexual harassment allegations by a former engineer this February, an investigation led by board member Arianna Huffington, and the departure of multiple executives. Valued at a reported $70 billion, Uber is one of the most highly-valued start-up companies in the world.

Kalanick said earlier this month he was taking an indefinite leave of absence, in part to deal with a personal tragedy.

"I would like to know who's heading the search and how much independence they'll have and how much veto power Travis will have", Harvard's Kanter says. His mother was killed in a boating accident and his father was injured.

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