Swiggy and Zomato were Alleged by NRAI for Misusing Consumer Data
Zomato and Swiggy both are likely to face Antitrust Probe into apps neutrality. The authority NRAI alleged the food delivery platform of misusing the consumer data, charged exorbitant commissions, and provided massive discounting.
Highlights
- India’s top Antitrust Agency is The Competition Commission of India
- NRAI urged the CCI to set up an inquiry on Zomato and swiggy
- NRAI covered more than 5 lakh restaurants across India
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The Competition Commission of India (CCI) dictates a detailed investigation of food delivery platforms like Zomato and Swiggy for the allegations that apps are neutral platforms, as the antitrust watchdog said on Monday.
Such order of investigation comes after the National Restaurant Association of India (NRAI) asked the Competition Commission of India to set up a probe over the companies beaching the neutrality of platforms by providing priority to the exclusive contractors.
The authority said “A conflict of interest situation has arisen in the present case both about swiggy as well as Zomato… which will come in the way of them acting as neutral platforms,” Said CCI.
The authority National Restaurant Association of India (NRAI) which represent more than 5 lakh of restaurants, imposed allegation over the food delivery platforms like Swiggy and zomato that both platforms were misusing consumer data, charged exorbitant commissions, and provided massive discounting.
The commission said “the commission has observed that it has already found merit in investigating the issue about platform neutrality,” said CCI but it also said that it didn’t see merit over allegations of delayed payments.
The national food delivery platforms Swiggy and Zomato both are famous platforms and after the publishing of news of the probe for violating the antitrust rules, both had not made any comment about it.
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