Karnataka Minister Warns E-Commerce Platforms Over AI Chatbot Issues

Karnataka’s IT and Biotechnology Minister, Priyank Kharge, has criticized the inefficiencies of AI-powered customer support systems used by major e-commerce and quick commerce platforms, cautioning that if they fail to improve, government intervention may become necessary. His remarks follow growing consumer frustration over poor grievance redressal mechanisms and automated responses that often fail to resolve critical issues. Taking to X (formerly Twitter), Kharge called out Swiggy and Zomato, urging them to enhance their customer service. He pointed out that while AI chatbots can efficiently handle basic inquiries, they often trap users in frustrating loops, preventing meaningful issue resolution. He warned that if companies do not take corrective steps, the government may introduce regulations to ensure better customer experience. Consumers have increasingly voiced their dissatisfaction on social media, highlighting concerns over delayed deliveries, refund disputes, and the inability to connect with human representatives. Many claim that excessive reliance on AI-driven systems has led to a decline in service quality, with businesses prioritizing automation over real customer engagement. The challenge, according to experts, lies in finding a balance between AI efficiency and human interaction. While chatbots are effective for routine queries, they often lack empathy and problem-solving skills when handling more complex issues such as financial disputes, incorrect deliveries, or urgent escalations. Kharge’s remarks indicate that if e-commerce and quick commerce platforms fail to act voluntarily, the government may impose regulations mandating human support, improved complaint resolution mechanisms, and stricter service quality benchmarks. This could reshape how AI is integrated into customer service. As of now, Swiggy and Zomato have not issued an official response, but the industry is under pressure to rethink its customer support strategies. Some businesses are already adopting hybrid models, blending AI chatbots with human intervention to ensure a more seamless and efficient resolution process. With AI-driven support systems becoming more common, companies must prioritize consumer trust and satisfaction. Whether e-commerce firms voluntarily enhance their customer service or face regulatory action remains uncertain, but Kharge’s statements highlight a growing push for accountability in AI-powered customer interactions.