Uber denies implementing phone model-based pricing

Uber said it does not set ride prices based on a user’s phone model, shortly after an Indian government body alleged that the ride-hailing giant and its domestic rival Ola use differential pricing for Android and Apple phones.

India’s consumer affairs minister Pralhad Joshi said on X on Thursday that the Central Consumer Protection Agency (CCPA) had sent notices to the companies over the alleged price disparity or “differential pricing”.

An Uber spokesperson told Reuters, “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.”

There have been several reports by local media and user complaints on social media that iPhone users were charged higher prices for the same ride than those using phones that ran on Android operating systems.

Joshi said he would direct the CCPA to also look into differential pricing strategies used by other sectors, including food delivery and online ticketing portals.

Ola, Google and Apple did not respond to Reuters requests for comment.

Uber is locked in a fierce battle with SoftBank-backed Ola, rival Rapido, as well as all-electric ride-hailing app BluSmart in India, one of the company’s biggest markets outside the United States and Canada.

Joshi last month termed differential pricing an “unfair trade practice” that is a “blatant disregard” to consumer rights.