Ola, Uber Investigated for Alleged Price Differences Based on OS Type

Ola, Uber Investigated for Alleged Price Differences Based on OS Type
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Ola, Uber Investigated for Alleged Price Differences Based on OS Type

Highlights

The Consumer Protection Authority has issued notices to Ola and Uber over alleged fare differences based on mobile operating systems, with further investigations underway.

The Consumer Protection Authority (CCPA) has issued notices to leading ride-hailing platforms Ola and Uber following allegations that they have been charging customers different rates based on the type of mobile operating system used, such as iOS or Android.

The development was announced by Consumer Affairs Minister Pralhad Joshi through a post on X (formerly Twitter) on Thursday. Joshi stated that the Department of Consumer Affairs, in collaboration with the CCPA, had initiated the action after receiving complaints about what appeared to be differential pricing practices between users of iPhones and Android devices.

The notice follows an earlier statement by Joshi, who had highlighted the government's stance on protecting consumer rights and ensuring transparency in the marketplace. Last month, the Minister had declared that any form of consumer exploitation would be met with "zero tolerance" and directed the CCPA to investigate the matter thoroughly. Joshi had also described the practice as a potential violation of consumer rights, calling it an "unfair trade practice" and a "blatant disregard" for transparency.

The issue came to light after several users reported discrepancies in the fare structure when booking rides through Ola and Uber, with those using iPhones allegedly being charged higher rates compared to Android users.

In response to the allegations, Uber denied any wrongdoing. A company spokesperson stated, "We do not set prices based on a rider's phone manufacturer. We are committed to working with the CCPA to resolve any misunderstandings."

Ola, on the other hand, has yet to release an official statement addressing the claims.

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