The Ministry of Consumer Affairs issued notices to cab aggregators Ola and Uber as Centre sought clarification on reports of alleged differential pricing based on the type of mobile device used to book rides.
The Ministry of Consumer Affairs issued notices to cab aggregators Ola and Uber as Centre sought clarification on reports of alleged differential pricing based on the type of mobile device used to book rides.
The action by Central Consumer Protection Authority (CCPA) comes after reports that Ola and Uber appeared to charge different fares for the same service, depending on whether a user was booking on an iPhone or an Android device. The CCPA has asked both the companies to explain their pricing methods and address concerns of potential discrimination and described the practice as “apparent differential pricing”.
In response to the order, Uber said, “We do not set prices based on a rider’s phone manufacturer. We look forward to working with the Central Consumer Protection Authority to clear up any misunderstanding.”
Earlier, a Delhi-based entrepreneur shared on social media platform X that the two ride-hailing apps were charging different prices for cabs after comparing fares across different devices and battery levels. The post gained traction as several users shared the same experience.
Uber denied that pricing is based on the type of phone used and the company said that fare differences can be due to variations in pick-up points, estimated time of arrival (ETA) and drop-off points.