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AIAAIC-0104

Uber under fire for surge pricing after London terror attack

Uber faced significant backlash for maintaining surge pricing during the London terror attack on June 3, 2017, which resulted in seven deaths and numerous injuries. Uber users reported being charged up to 200 percent more than usual while trying to escape the chaos after a van had struck pedestrians on London Bridge and terrorists wielded knives nearby . ith Fa res r ose from around GBP 7 to 40 for short trips. Critics on social media accused Uber of opportunism and profiting from tragedy. Uber's general manager in London, Tom Elvidge, defended the company's actions, stating that they suspended surge pricing in the attack area shortly after being informed of the incident, and extended this suspension to all of central London within an hour. Surge pricing typically increases fares when demand exceeds supply, but Uber usually disables this feature during emergencies. The company later refunded affected passengers. The incident sparked discussions about the ethical implications of dynamic pricing algorithms, particularly during crises. It also highlighted Uber's ongoing challenges with public perception and competition from traditional taxi services, which offered free rides to those fleeing the area. System 🤖 Uber surge pricing Developer: U ber Country: UK Sector: Transport/logistics Purpose: Calculate surge price Technology: Pricing algorithm Issue: Accountability ; Fairness; Prop ortionality

Date it happened
2017-06-01
Organisation involved
Uber
Product, system or model
Uber surge pricing algorithm
Where this came from
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