Ola, Uber Reject Allegations of Phone Model-Based Pricing

In response to recent allegations and government scrutiny, both Ola and Uber have publicly denied that they set fares based on the model of phone used by customers. This statement comes after the Central Consumer Protection Authority (CCPA) issued notices to both companies following reports of “differential pricing” for rides booked via iPhones versus Android devices.

An Ola spokesperson emphasized, “We have a homogenous pricing structure for all our customers, and we do not differentiate based on the operating system of the user’s cellphone for identical rides.” They confirmed that they have addressed these points with the CCPA and are committed to resolving any misunderstandings. Similarly, Uber’s spokesperson clarified to Reuters, “We do not set prices based on a rider’s phone manufacturer. We look forward to working with the CCPA to clear up any misunderstanding.”

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The issue came to light after a Delhi-based entrepreneur posted about his findings on X, suggesting fare variations based on different devices. The conversation gained momentum when an X user shared a side-by-side comparison of fare differences on Uber for the same journey but different phone types, leading to viral discussions. Despite this, Uber had previously explained that any discrepancies in fares could be due to different pick-up points, estimated times of arrival, or drop-off locations, not the phone’s manufacturer.

Consumer Affairs Minister Pralhad Joshi has highlighted the issue as an “unfair trade practice” and announced further investigations into similar practices across other sectors like food delivery and online ticketing. This action underscores a broader push for transparency and fairness in pricing models across digital platforms.

Apple and Google, whose operating systems were at the center of this controversy, have not yet provided comments on the matter. As the debate continues, both Ola and Uber are keen to uphold their reputation for equitable pricing, ensuring all customers are charged uniformly regardless of their device.

This development serves as a reminder of the ongoing need for vigilance in how consumer data is used, especially in pricing strategies, to ensure fairness and trust in digital services.