Uber refutes claims of charging higher fares for iPhone users amid CCPA probe

Uber refutes claims of charging higher fares for iPhone users amid CCPA probe

Uber has denied allegations of charging higher fares for iPhone users in India, following notices from the Central Consumer Protection Authority. The investigation may extend to other sectors to examine similar pricing practices.

Uber pricing algorithm
Business Today Desk
  • New Delhi,
  • Jan 24, 2025,
  • Updated Jan 24, 2025, 9:46 AM IST

Uber has refuted allegations of charging higher fares for iPhone users compared to Android users. The denial comes after the Central Consumer Protection Authority (CCPA) in India issued notices to Uber and Ola over claims of differential pricing.

India’s Consumer Affairs Minister, Pralhad Joshi, highlighted the issue on X (formerly Twitter), announcing that explanations had been sought from both companies.

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According to a report by Reuters, an 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.” The allegations surfaced following reports in Indian media and claims by social media users.

Minister Joshi has directed the CCPA to expand its investigation to other sectors, including food delivery and online ticketing services, to check for similar pricing practices. He termed differential pricing as an “unfair trade practice” that violates consumer rights.

While Uber has responded, Ola, along with Apple and Google, has remained silent on the issue. Ola is a significant competitor to Uber in India, backed by SoftBank.

India is an essential market for ride-hailing companies like Uber, which faces stiff competition from Ola, Rapido, and BluSmart. The investigation may affect how these companies operate in one of the largest ride-hailing markets globally.

The CCPA’s findings could lead to stricter regulations and increased scrutiny of pricing practices in India’s digital economy. Further developments are awaited as the investigation progresses.

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