The startup, which uses smartphones to connect limo drivers and riders in real time, is paying its drivers double to make sure there are enough cars on the road, while keeping the cost for the passenger the same.
"Our goal is to be a reliable transportation alternative,"?Uber General Manager Josh Mohrer tells Business Insider.?
Uber normally adjusts its prices during peak demand times in order to keep cars on the road. But Mohrer says Uber will eat the loss for the time being. ?
Mohrer wouldn't say how much money Uber could potentially lose, but he says it will be a significant expense.
"We are monitoring the city's transportation health closely and will keep this running as long as we can today while we figure out more sustainable?ways to keep supply up while the city is in need," Mohrer says.
Besides the good publicity from helping out New Yorkers, Uber may want to restore its reputation among riders after pulling a short-lived experiment with letting Uber users hail taxis with its app.
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Source: http://www.businessinsider.com/uber-new-york-driver-pay-2012-10
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