The car transportation service Uber is requiring its riders to pay a minimum of $175 per ride on New Years Eve. Chief Operating Officer Travis Kalanick told Business Insider, “It’s just supply and demand.”
Uber uses a cell phone application to determine your location and have their drivers pick you up. The passenger then automatically pays through the Uber app, which needs a credit or debit card attached. It’s a seamless and efficient transaction which has led to the company being valued at over $40 billion.
While the company has had issues with local transportation laws, users of the ride sharing app have overwhelmingly supported Uber. Minor incidents of harassment and being overcharged have been reported but that was no different when using a traditional taxi cab hailed from the street corner.
Demand for taxis on New Years Eve skyrockets in cities like Chicago, New York, and Los Angeles. With severe shortages of available taxis, passengers don’t have much choice. “By the time you buy a ticket to a party, drinks, maybe some party favors, can you place a price on your safe ride home?” said Kalanick. “It’s still way cheaper than getting a DUI.”
With New Years being the biggest party night of the year, Uber is doing what it thinks is best for it’s business. The fact is, there are not enough people who drive cab for a living to allow for every party going person a ride to and from their destination. And with drunk driving checkpoints set across the country, the demand for sober drivers is high.
“We still won’t meet our demand,” said Kalanick. “We could probably charge a hundred and fifty bucks but we don’t want to look like dicks.”