Bhavish Agarwal's Ola, Uber get CCPA notice for alleged differential pricing for...

Days after many users pointed out the price differences on Android and iPhone mobile phones for identical rides, the centre has issued notices to cab aggregators Ola and Uber. Consumer Affairs Minister Pralhad Joshi has said that the Consumer Protection Authority (CCPA) has issued notices to Ola and Uber for alleged differential pricing for identical rides based on the user's mobile operating system -- Android or iOS.

In a tweet, the minister said, "As a follow-up to the earlier observation of apparent Differential Pricing based on the different models of mobiles (iPhones/ Android) being used, Department of Consumer Affairs through the CCPA has issued notices to major cab aggregators Ola and Uber, seeking their responses".

Uber spokesperson 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." Last month, the minister asked CCPA to investigate these allegations thoroughly. He had described this practice as a "prima facie unfair trade practice" and a "blatant disregard" for consumers' right to transparency.

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The issue gained significant attention after a survey by LocalCircles last month revealed that many commuters experienced significant fare differences for identical rides when booked through Android devices versus Apple iPhones. Many users raised concerns that the pricing algorithms of both Ola and Uber might be skewed, potentially charging Apple device users higher fares.

(With inputs from PTI)