Uber-Waymo case: Dramatic turn as judge says Uber lawyers withheld evidence

Pressed under questioning, Jacobs acknowledged that the letter also alleged that Uber had stolen trade secrets from Waymo, as well as other intellectual property in the U.S.

According to Bloomberg, Uber has already tested U.S. District Judge William Alsup's patience.

The Marketplace Analytics team was instructed to use encrypted, ephemeral communication on devices that couldn't be attributed to the company, Jacobs said, in order to "make sure we didn't create a paper trail that would come back to haunt the company in any potential criminal or civil litigation". On Tuesday, Alsup delayed it so Waymo can have more time to gather evidence.

A former security manager for Uber testified in San Francisco on Tuesday that he believed the ride-hailing service had set up a secret unit to steal trade secrets from its rivals overseas.

Jacobs took the stand to testify about the letter's statement that Uber's Marketplace Analytics "exists expressly for the goal of acquiring trade secrets, code-based & competitive intelligence", as Waymo lawyer Charles Verhoeven said, quoting from the letter.

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A federal judge overseeing the high-profile patent theft case between Alphabet Inc.'s Waymo and Uber Technologies Inc. Part of that settlement can be withheld if Jacobs violates a provision requiring him not to say anything that would harm Uber.

The trial was originally scheduled to begin on December 4, but Waymo filed a last-minute motion to postpone on Monday.

Alsup said it would be a "huge injustice" to force Waymo to go to trial given the new evidence that surfaced in the case, according Reuters. The letter reportedly had several bombshell revelations, including methods that Uber instructed employees to evade investigations.

Waymo filed its lawsuit against Uber in February. The case centers around former Google employee Anthony Levandowski, who allegedly stole 14,000 "highly confidential" files before leaving the company to start his own self-driving truck startup.

In a statement defending itself, Uber pointed to Jacobs' testimony the he wasn't aware of the company stealing any of Waymo's trade secrets. Levendowski left his role at Waymo in January 2016 to found another self-driving vehicle company called Otto, which was acquired by Uber in August 2016.

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