How do you propose dispensing a limited number of drivers to a larger number of customers? There are really only two solutions: get more drivers or get fewer customers.
Surge pricing can incentivize more drivers to come online. I don’t see how you can reduce the customers in a short timeframe.
Surge pricing also reduces your number of customers in that moment.
Drivers don't materialize out of thin air in a short time period.
True, there should be no need for automated system, but instead it should be auction for next available driver slot. So those who pay more get the ride faster.
I don't think I'm a fan of that either, but compared to the predatory approach now it'd still be a lot better.