CCI probing online cab companies over alleged abuse of dominance

CCI keeps a tab on unfair business practices across sectors. In April this year, the fair trade regulator had ordered a detailed probe against app-based radio taxi service operator Ola Cabs for alleged predatory pricing to keep out the rivals.

After looking into the allegations, the Commission had said it was of the view that “prima facie” the conduct of Ola amounts to abuse of dominant position.

The complaint was filed against ANI Technologies Pvt Ltd, which provides radio taxi services under Ola brand.

“It is observed from the material placed on record that the opposite party is spending more money on discounts and incentives (apart from the variable costs it may be incurring) on customers and drivers compared to the revenue it is earning,” the regulator had said while ordering the detailed probe.