Rapido launches zero-profit bike taxi facilitator in Karnataka

Ride-hailing platform Rapido has launched 'Bike Direct,' a non-profit bike taxi service in Karnataka, in a bid to continue operations, even as rivals Ola and Uber have suspended their bike taxi services.

The company said the service is a “non-commercial” initiative aimed at helping drivers who were not able to secure bookings due to the lack of a dedicated infrastructure or platform.

"We wish to clarify that Bike Direct is not a commercial service and does not signify Rapido's return to operating bike taxis. It is solely a non-profit, humanitarian effort to empower captains with the tools they need to rebuild their means of earning," the company said in an email response to the queries sent by ET.


Uber and Ola removed bike taxi booking as an option from their apps after transport minister Ramalinga Reddy termed the resumption of services a "violation" of the high court's order and a misrepresentation of the court's oral observation.

While the services were suspended for over two months, the platforms resumed bike services last week after the Karnataka High Court orally asked the state government to frame a policy around bike taxis. On August 22, the court clarified that it had not issued any order permitting bike taxi services.

ET previously reported on August 21 that bike taxi services had resumed following the high court chief justice's oral observations, which were interpreted as a relief for bike taxi operators who were banned by the government from June 16.

Karnataka has around 600,000 gig workers who are engaged in multiple forms of services in the major cities of the state.

Uber and Ola did not respond to ET's queries.

"Riders are happy about the company's decision to resume services. However, with fewer platforms offering these services, it will hurt drivers who depend on them for daily income," said Adi Narayan, president of the Bike Taxi Association.