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Uber’s algo is not actually a market. Many people don’t think individual businesses are supposed to explicitly coordinate like that in other industries.
True, Uber's algo is not a market, but increasing prices to spur increased supply doesn't sound like a cartel or manipulation to me at all. I mean, doesn't it make sense that with taxi stock fixed, prices should rise in the rain?
If Uber were coordinating this surge pricing with Lyft, I would agree with you. Or, if Uber driver's were all turning off their phones at the same time to artificially deflate supply to increase prices, yes that's price manipulation/cartel behavior.
But, Uber increasing prices during high demand, low supply periods in an algorithmic way that does not explicitly involve coordination with their competitor Lyft? That's not behavior we should be regulating.
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