NEW DELHI: In the past two months, many iPhone users have shared screenshots on social media alleging that they were charged more on commercial platforms like cab-hailing apps Ola and Uber, or quick-commerce apps such as Zepto. They claimed that prices were inflated when bookings were made from iPhones, while
Android users were shown lower charges for the same services. Following several complaints and screenshots, the Ministry of Consumer Affairs issued notices to Ola and Uber, seeking clarification on reports of alleged differential pricing based on the type of mobile device used for bookings. However, both companies have denied engaging in such practices, and the issue remains unresolved.
The Minister for Consumer Affairs, Pralhad Joshi, wrote on X (formerly Twitter), “As a follow-up to earlier observations of apparent #DifferentialPricing based on the different models of mobiles (#iPhones/#Android), the Department of Consumer Affairs, through the CCPA, has issued notices to major cab aggregators #Ola and #Uber, seeking their responses.”
What is the issue?
Despite the companies' claims, our team experienced a noticeable price difference when attempting to book a cab from the same location, at the same time, with identical pickup addresses. While booking via an Android phone showed a lower fare, the same booking from an iPhone revealed a significantly higher price. A few days ago, Bengaluru-based entrepreneur Vinita Singh, co-founder of Horse Power, shared a similar experience on LinkedIn. She posted screenshots showing significant pricing discrepancies in Zepto, a quick-commerce app. For example, the price of 500 grams of green capsicum on an Android device was listed as Rs 21, while on an iPhone, it was priced at Rs 107. Singh emphasised that both screenshots were taken simultaneously, from the same location. Despite the public outcry, neither Apple nor Zepto has issued a clarification regarding the price discrepancies.
Cab companies’ response
Both Ola and Uber have denied any form of differential pricing based on the type of mobile device used. Ola stated that it maintains a uniform pricing structure for all customers and does not differentiate based on the operating system of the user’s phone for identical rides. The company further clarified this to the Central Consumer Protection Authority (CCPA) and pledged to cooperate with them to clear any misunderstandings. Uber similarly stated that it does not set prices based on a rider's phone manufacturer, and expressed its willingness to work with the CCPA to resolve the issue.
What do technocrats say?
Experts have proposed several theories to explain these discrepancies. Some suggest that since Apple devices are typically more expensive than Android phones, algorithms used by Uber and Ola may adjust their dynamic pricing models accordingly, charging Apple device users more. Others argue that multiple factors—such as the user’s location, app activity, browsing history, use of credit cards, and even device specifications—could influence pricing decisions. These factors could cause pricing algorithms to tailor charges uniquely to each individual user, rather than adopting a one-size-fits-all approach.