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Friday, December 27, 2024

Government Orders Investigation into Discriminatory Cab Fare Pricing on Android and iOS Devices

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Union Consumer Affairs Minister Pralhad Joshi has instructed the Central Consumer Protection Authority (CCPA) to conduct a thorough investigation into reports that ride-hailing platforms are displaying different fare prices for the same ride on Android and iOS devices. 

The investigation will also expand to cover other sectors, such as food delivery apps and online ticket booking services.

Union Minister Takes Cognisance  

Sharing the report from The Times of India, Joshi tweeted, “This seems to be an unfair trade practice where cab aggregators are allegedly using differential pricing based on factors highlighted in the article. If true, this is a blatant violation of the consumer’s right to transparency. I’ve directed @jagograhakjago through CCPA to look into this and present a report as soon as possible. I’ve also asked them to investigate other sectors like food delivery and online ticket booking.”

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Officials indicated that they will gather evidence, reach out to ride-hailing platforms, and investigate similar practices in food delivery and ticket booking services. Former Consumer Affairs Secretary Rohit Kumar Singh condemned the practice, calling it discriminatory and a form of “dark pattern” unfair trade. He noted that such pricing practices use device data without consumers’ consent.

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CCPA Has Delved into Such Issues Before 

This is not the first time that the CCPA has intervened in matters related to ride-hailing services. Both Uber and Ola have previously complied with directions aimed at safeguarding consumer rights. Officials are now taking a closer look at how widespread the practice of differential pricing is and whether it extends beyond the ride-hailing industry to other digital platforms.

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