Could Uber End 'Surge' Pricing?

Anyone who has used Uber knows the dreaded surge. But before the self-driving cars take over the wheel at transportation network companies, will the machines also figure out a way to eliminate one of the key perks of being an Uber driver?

1 minute read

May 11, 2016, 12:00 PM PDT

By James Brasuell @CasualBrasuell


Uber Car

mikedotta / Shutterstock

Aarti Shahani reports on plans at Uber to end "surge pricing"—that feature of the transportation network company's model that drives prices higher when demand for the service is higher than the supply of drivers. Shahani defines the stakes for the decision: "The move likely will be great for riders, but not for drivers."

While drivers see surge as a key feature of the job — and Uber advertises it as such to them — inside the company surge pricing is considered a market failure, a problem to be solved.

Shahani interviews Jeff Schneider, engineering lead at Uber Advanced Technologies Center, for the story, to learn more about the efforts of Uber to "solve" the problem. The key, according to Schneider, will be to develop an algorithm that anticipates the times when surge pricing goes into effect.

The article has produced a tech-variety fallout. Separate articles in MarketWatch and TechCrunch have questioned the accuracy of the article. Shahani's article includes an addendum verifying the source on the report.

Tuesday, May 3, 2016 in MPR News

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 2, 2025 - Diana Ionescu

White and purple sign for Slow Street in San Francisco, California with people crossing crosswalk.

San Francisco Suspends Traffic Calming Amidst Record Deaths

Citing “a challenging fiscal landscape,” the city will cease the program on the heels of 42 traffic deaths, including 24 pedestrians.

July 1, 2025 - KQED

"Altadena - Not For Sale" yard sign in front of burned down house after Eaton Fire in Altadena, California in January 2025.

Half of Post-Fire Altadena Home Sales Were to Corporations

Large investors are quietly buying up dozens of properties in Altadena, California, where a devastating wildfire destroyed more than 6,000 homes in January.

July 7 - Dwell

Dense multistory residential buildings in hilly San Francisco, California.

Opinion: What San Francisco’s Proposed ‘Family Zoning’ Could Really Mean

Mayor Lurie is using ‘family zoning’ to encourage denser development and upzoning — but could the concept actually foster community and more human-scale public spaces?

July 7 - The San Francisco Standard

Blue self-driving Ford Transit van shuttle in Jacksonville, Florida.

Jacksonville Launches First Autonomous Transit Shuttle in US

A fleet of 14 fully autonomous vehicles will serve a 3.5-mile downtown Jacksonville route with 12 stops.

July 7 - Smart Cities Dive

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.

Associate/Senior Planner

Gallatin County Department of Planning & Community Development

Senior Planner

Heyer Gruel & Associates PA