Here \(f_y=2y^{-1/3}\), continuous for \(y\neq 0\) and unbounded at \(y=0\). So the theorem applies only off the \(x\)-axis; on it (\(y_0=0\)) there are several solutions, such as \(y=0\) and \(y=x^3\).
The existence and uniqueness theorem guarantees that an initial value problem has a unique solution near the initial point, if the equation and its partial derivative with respect to the unknown are continuous there.