India’s government has ordered an investigation into whether Uber and local ride-share champion charge Ola customers more if they use iPhones.
Consumer complaints about the practice of “differential pricing” – charging more depending on a user’s perceived ability to pay – became a hot topic in India late in 2024, when the below posted by X account @seriousfunnygy spread widely.
Post to X account @seriouslyfunnyguy depicting Uber's projected cost for the same ride on Android (L) and iOS (R)
Post to X account @seriouslyfunnyguy depicting Uber's projected cost for the same ride on Android (L) and iOS (R) - Click to enlarge
Minister for consumer affairs Pralhad Joshi caught wind of debate about differential pricing and in late January ordered India’s Central Consumer Protection Authority (CCPA) to ask Uber and Ola if they changed prices.
Within days, Uber told Reuters it did not.
On Wednesday, minister Joshi told [PDF] India’s parliament that Uber and Ola responded to the CCPA probe by denying they use differential pricing.
But that didn’t satisfy Joshi, who in an answer to a parliamentary question said the matter had been sent for further investigation.
The minister hasn’t said why he and the CCPA weren’t satisfied by denials from Ola and Uber.
Even if rideshare companies are charging iPhone users more, it’s not going to impact most Indian citizens because feature phones and low-cost Android handsets dominate the local market.
Apple devices are too expensive for most Indians: Analyst firm Canalys recently found Apple won eleven percent smartphone market share in Q4 2024, when it for the first time cracked fifth place on sales charts by shifting four million iPhones.
If rideshare companies are finding ways to make iPhone owners pay more, they’re therefore targeting some of India’s wealthiest citizens. Which may be why the minister wants to get to the bottom of the matter. ®