Govt Issues Notice to Uber, Ola Over Differential Pricing for iPhone & Android Users

The Central Consumer Protection Authority (CCPA) has issued notices to cab aggregators Ola and Uber over concerns regarding differential pricing for iPhone and Android users on their platforms. This issue, highlighted by multiple consumers on social media, has raised questions about transparency and fair trade practices in digital services.

Union Minister of Consumer Affairs, Food and Public Distribution, and New and Renewable Energy, Pralhad Joshi, confirmed the actions taken through a tweet on Thursday. He stated that his department had initiated an investigation into the matter to ensure that consumer rights were not violated. 

 “As a follow-up to the earlier observation of apparent differential pricing based on the different models of mobile phones (iPhones/Android), the Department of Consumer Affairs, through the CCPA, has issued notices to major cab aggregators Ola and Uber, seeking their responses,” Joshi tweeted.

Consumer Complaints Spark Inquiry

Several users have shared video evidence on social media, alleging that ride fares displayed on the Uber and Ola apps are higher for iPhone users compared to Android users for the same route and time. This has led to widespread outrage, with many calling it an unfair trade practice that exploits consumers based on their choice of device.

Joshi reiterated the government’s stance of “zero tolerance for consumer exploitation,” recalling his previous remarks on the issue from last year. He emphasized that if the allegations are true, it would represent a blatant disregard for consumers’ right to know and for fair pricing policies.

“This prima facie looks like an unfair trade practice where cab aggregators are allegedly using differential pricing based on the factors mentioned. If so, this is a blatant disregard for consumers’ rights. I have directed the ministry, through the CCPA, to conduct a detailed inquiry and submit a report at the earliest,” Joshi wrote.

Investigation to Expand Beyond Cab Services

In addition to cab aggregators, the minister also directed the Department of Consumer Affairs to investigate similar pricing practices in other digital sectors, including food delivery services and online ticket booking platforms. Several consumers have reported variations in pricing based on user profiles and device types across these platforms as well.

The notices issued to Uber and Ola demand clarification on their pricing algorithms and transparency in fare calculations. If the companies are found guilty of unfair practices, they may face legal action under the Consumer Protection Act.

As the investigation unfolds, both consumers and digital service providers are closely monitoring the situation to see how this case will impact pricing models and regulatory oversight in India’s growing app-based economy.

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