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The higher fee to drivers is not about Uber's underlying fixed costs; a simple fee or holdback on the first commission check would suffice. The purpose of the higher fee is to make more money of off the driver's to make Uber's balance sheet look better.

Basically, it's an indication that Uber's finances are a lot weaker than their lofty valuation would suggest.

Probably because this isn't really about that.

Drivers aren't all going to pay a fee. Some will drive less or switch to a competitor.

Right? I guess there would need to be some mechanism for updating them however. You don't want someone to get 'certified' and then get a record, but it be invisible.

I guess an ongoing rate is necessary for ongoing updating.