A controversy has stirred after reports and social media posts revealing higher cab fares for identical routes and timings when booked through iPhones compared to Android users. The Center has taken action against cab aggregators Ola and Uber. The Department of Consumer Affairs has issued notices following the allegations of ‘differential pricing’ for different smartphones used by consumers.
After the allegations, the Central Consumer Protection Authority (CCPA) has been prompted to investigate and take action whether such pricing differences are disadvantaging for the users based on the device type, if so it could be an unfair trade practice. After the huge online debate, the Union Minister of Consumer Affairs, Food and Public Distribution, Prahlad Joshi took to X sharing about the development.
The post read, “As a follow-up to the earlier observation of apparent #differentialpricing based on the different models of mobiles (#iPhones/#Androids) being used, Department of Consumer Affairs through the CCPA, has issued notices to major cab aggregators #Ola and #Uber, seeking the responses.”
Minister Joshi has described has called the allegations as “prima facie unfair trade practice”. He has also stated the government’s commitment towards consumer rights saying there would be “zero tolerance towards consumer exploitation.” The authority is also seeking responses from Ola and Uber.
The CCPA has also issued notice to Apple Inc. for alleged performance glitches on iPhone after the IOS 18+ software update.
The issue came to attention after a social media post sharing screenshots of Uber fares striking a significant difference for a trip when booked from iPhone and Android alike went viral. The similar was observed with Ola as well. This led users expressing outrage over the companies, calling it unfair and disgusting. As of now, Uber has denied all such claims saying, “Uber does not personalize trip pricing based on a rider’s cell manufacturer.” According to media reports, the company has cited differences in prices owing to variations in pickup points, estimated times of arrival and drop-off locations.
Well, this is not the first case in India based on alleged device-based price discrimination. In 2024, similar discrepancies were observed where a user complained over the price of a Makobara cabin suitcase on Filpkart being higher on IOS compared to the Android. It was widely discussed however no action was taken officially.
As the investigation pulls over, the allegations on Ola and Uber have raised serious questions about the transparency and fairness in pricing. The government response and action will ensure consumer protection and the equitable treatment of the users, whatever devices they use.