Russia's FAS Claims Yandex.Taxi's Dominant Position in Russia

Russia's FAS Claims Yandex.Taxi's Dominant Position in Russia
Photo: TASS 28.11.2023 644

The FAS clarified that the moratorium on business inspections in force in Russia does not make it possible to identify company abuses and take action against them.

The Yandex.Taxi service has again been recognized as dominant in the ride-hailing market in Russia. However, it is impossible to identify cases of abuse of such a position and take measures because of the moratorium on business inspections. This was reported in the press service of the Federal Antimonopoly Service (FAS).

"FAS of Russia based on the results of the market analysis found that "Yandex.Taxi" occupies a dominant position in the territory of the Russian Federation and the vast majority of regions of the country. Cases of abuse of dominant position are a reason to analyze the economic feasibility of raising fares and to take antimonopoly response measures," 

said in the press service of the agency.

The company's dominant position was revealed by the results of the market analysis in 2021. Afterwards, the FAS of Russia did not analyze the market of cab aggregators because of the moratorium on inspections of IT-companies in force until the end of 2024, the agency added.

"Vedomosti "reports that according to Yandex's Q3 report, the share of increased cab fares is growing against the backdrop of an increase in the number of higher-class cars and a shortage of drivers in the domestic market. In September, "Yandex" has already explained the rise in the price of the service with a shortage of staff, the new law on cabs and rising car prices, reported the TV channel RTVI.

On October 17, the FAS also claimed about the dominant position of the service in the Russian market and brought to the discussion of the expert council at the agency for the development of competition in the field of information technology the issue of disconnecting passengers and drivers from "Yandex.Taxi". The participants of the meeting came to the conclusion that the service should change the terms and conditions of service provision, specifying in them exactly in what cases a passenger can disconnect access to the service. It may take up to six months to adjust the public offer. 

On November 23, the company published a message explaining for which violations access to the service will be limited. Among them: unpaid trips, violation of safety rules, abuse of the service, for example, when a passenger regularly orders a cab, but then cancels it.

Source: "Vedomosti"

digital markets  Russia 

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