Uber Technologies Inc., like rival Lyft Inc., does not have a road to profitability unless it does one of two things: Get rid of drivers or raise prices....
If the price goes up they will still pay. They are going to need to get used to it anyway...If they raise rates they lose customers. Better to keep the rates the same but stop stealing from the drivers and pay them 75% of the fare minus the $3 they are skimming off the top on each ride which is your gift to Uber and Lyft.
As long as it is cheaper and more available than a taxi their will be very little attrition. Rates would never be this low if there wasn't this competition between the two. If Uber raised rates Lyft would follow. Lyft believes they win in the long term because they are "nicer"