The CCI by its order dated August 31, 2016 has dismissed allegation of abuse of dominant position through predatory by Ola Cabs and Taxi For Sure operator ANI Technologies Pvt. Ltd.
The Information was filed by three individuals plying auto-rickshaw in NCR region. It was alleged that ANI is driving out competitors in the market for para-transit services- i.e., market for auto-rickshaw and taxi services- in NCR by paying more money to drivers than it collects from passengers.
The CCI noted that in the two relevant markets for that of radio taxis and auto rickshaws in New Delhi, ANI was not a dominant enterprise as there exists stiff competition between Ola and Uber in providing radio taxi services in New Delhi. Similarly, in provision of auto-rickshaw services, ANI’s market share is less than 20% in New Delhi.
The CCI concluded that the ANI is not dominant in either of the relevant markets and hence no allegation of abuse of dominance can be made against them.
(Source: Order dated August 31, 2016. For full text see CCI website-www.cci.gov.in)