Fact Check
Ola, Uber Under Legal Scrutiny for Alleged Fare Disparities
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NEW DELHI: The Central Consumer Protection Authority (CCPA) has issued notices to cab aggregators Ola and Uber following allegations of price disparities for identical rides on Android and iOS devices. Consumer Affairs Minister Prahlad Joshi disclosed the development on Thursday, citing concerns of differential pricing based on mobile operating systems.
“Department of Consumer Affairs, through the CCPA, has issued notices to major cab aggregators Ola and Uber, seeking their responses to the observed pricing discrepancies across iPhones and Android devices,” the minister shared in a post on X (formerly Twitter).
The notices were issued after multiple complaints from commuters who observed higher fares on iOS devices compared to Android for the same rides booked simultaneously.
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This isn’t the first instance of such concerns being raised. A December investigation revealed similar findings, showing that iOS users were charged more than their Android counterparts for identical trips. Industry experts believe the price disparities could stem from how ride-hailing apps access and utilize hardware data. During the installation process, users grant permissions that may influence algorithms determining ride fares.
The CCPA has now sought detailed explanations from Ola and Uber to address these allegations and ensure transparency in pricing practices. Differential pricing, if proven, raises significant questions about fairness in the ride-hailing ecosystem and consumer rights. This development underscores the government’s commitment to protecting consumers from potentially discriminatory practices by digital service providers.
Ola and Uber’s responses to the notices are awaited, and further action will depend on the findings of the CCPA’s investigation. The issue highlights the growing scrutiny of digital platforms and their pricing algorithms in ensuring equitable treatment for all users, regardless of the devices they use.