New App 'Flywheel' Takes On Uber Surge Pricing, Offers $10 Rides On New Year's Eve In SF

SAN FRANCISCO (KPIX 5) -- When you need a ride, do you call Uber or a cab?

"Uber," is a common response from many folks in The City who've long complained of no-show cabs.

"You'll wave them down they'll ask you where you're going and they'll take off if the fare isn't what they want," said one resident.

That's one of the primary reasons rideshare services like Uber and Lyft have been so successful.

But cabbies have begun fighting back with an app called Flywheel.

So far so good.

"Flywheel is making it so user friendly that when I ask passengers what they think of Flywheel they say it's the only thing I would take," said one cabbie.

The app lets you call and track your cab just like you would an Uber.

And Flywheel is throwing the latest blow in the rideshare battle by offering $10 flat rate cab rides on New Year's Eve.

That's a direct hit to Uber and Lyft's weak spot - surge pricing – when ridesharing companies increase fares based on demand.

We saw that last week, when it was raining buckets and the surge pricing was ridiculously high.

Both Uber and Lyft say surge pricing is necessary to encourage more drivers to work during peak periods.

In response to Flywheel, Uber has already gone on the offensive by advertising its New Year's Eve surge pricing - and providing customers with pro-tips on how avoid it.

Basically, use uber between 10:30 p.m. and midnight, or after 3 a.m.

Still, will the offer of a $10 New Year's Eve cab ride any time between 8 p.m. and 3 a.m. sway the Uber loyal?

It might, but we'll have to wait and see.

To get the $10 promotional New Year's Eve fare, you have to order the cab through the Flywheel app.

Pay $10 and the Flywheel will pay the rest of the fare, using the $12 million in funding the start-up just secured.

Meanwhile, Sidecar is advertising no surge pricing on New Year's Eve, and Luxor Cab is offering free rides from any San Francisco bar or restaurant.

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