The Competition Commission of India (CCI) is looking at algorithms used by airlines to determine fares as part of a detailed probe into alleged fixing of air ticket prices, according to the fair trade regulator’s chairperson Sudhir Mital. Currently, the regulator is investigating allegations of similar pricing as well as simultaneous increase in ticket prices by the airlines.
Mr Mital said that the CCI is currently looking into a couple of cases of alleged price fixing by airlines. The cases pertain to steep fluctuations in airfares during the Jat agitation in Haryana and floods in Chennai, among other instances, in the last few years.
“We are trying to work out the pricing pattern followed by airlines. Airlines have often stated that similarity in airfares as well as increase in prices is an outcome of demand based dynamic pricing by the softwares used by them.”
Full Content: Times of India