Amid continuing uncertainty over bike taxi services in Karnataka, Rapido has announced the launch of ‘Rapido Bike Direct’, a lead-generation service that connects bike taxi captains directly with verified customers without charging any commission. The company said the service is being offered completely free of cost in the state, enabling captains to earn a livelihood with no commercial obligations or financial deductions.
The state Transport Department has, however, said it plans to take action against the aggregator in this regard.
Meanwhile, Ola and Uber have already exited the bike taxi market in Karnataka, leaving Rapido as the only major player attempting to sustain the service. The move comes at a time when lakhs of bike taxi drivers are struggling without work, and industry associations have repeatedly appealed for access to app-based platforms that help them operate legally and connect with commuters.
According to Rapido, the new model is designed to support gig workers, offering them a steady income opportunity while passengers benefit from safe, reliable, and affordable daily travel. The zero-commission model was restricted to autorickshaws and cabs until last Saturday.
‘Only seeking to work with dignity’
Adi Narayan, president of the Bike Taxi Welfare Association, welcomed the announcement, calling it a much-needed relief for drivers. “For lakhs of bike taxi drivers in Karnataka, the launch of Rapido Bike Direct is nothing short of a lifeline. With zero commission, captains can finally earn their daily bread without worrying about deductions,” he said.
He added that drivers have been left with no independent way to operate, making platforms like Rapido essential for survival. “We are not asking for charity, only for the chance to work with dignity. Without access to app technology, drivers have no way to connect with customers or follow regulations. This initiative gives us hope when everything else feels uncertain.”
However, the legal situation around bike taxi services in the state remains complicated. Last Friday, the Karnataka High Court clarified that it has not passed any order allowing aggregators to resume operations. Appearing before a division bench of Chief Justice Vibhu Bakhru and Justice C M Joshi, Advocate General Shashi Kiran Shetty informed the court that certain aggregator platforms had restarted bike taxi services soon after the court’s directions on Wednesday.
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During a hearing in the matter on Wednesday, the judges had pulled up the government for imposing a complete ban rather than regulating the service. “Today, even e-bikes are not allowed. A complete legitimate trade is prohibited. So long as you are permitting a service, you can regulate it. The question is whether regulation would entail complete prohibition?” it observed.
The court also directed the government to think about the matter seriously and decide on framing a bike taxi policy.
On Friday, the bench said, “We have given no orders. If they have started their business, you can take whatever action you want.” The court reiterated that its earlier direction only restrained the state from taking coercive steps against individual riders, not aggregator companies.
Transport dept collects details of violations
Yogeesh A M, Transport Commissioner, also confirmed that aggregators had not complied with the court’s directive. “Aggregators did not comply with the court’s direction even after it was made very clear that they were not allowed to resume bike taxi services. We have collected enough material on the violation. We plan to take action against the aggregators,” he said.
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Rapido relaunching its bike taxi services has brought relief to many commuters who felt mobility in Bengaluru has become expensive, especially after the rise in autorickshaw fares and Bengaluru Metro ticket fares.
Prajna Hebbar, a working professional, said, “Bike taxis have been my go-to option for short-distance rides for a faster commute. Autorickshaws generally cost 3 times higher than bike taxis, which helps the working class and students save money. However, we wish to see strict policies and regulations by aggregators in terms of the safety of passengers, as we have witnessed a few mishaps in the past.”
Meanwhile, Rapido’s latest financial filings highlight the company’s sharp growth trajectory despite continuing losses. The Bengaluru-based bike taxi platform reported revenues of Rs 695.3 crore in the 2024-25 financial year, up from Rs 497.5 crore in 2023-24 — marking a 40 per cent year-on-year growth and a twelve-fold jump compared to 2020-21. Losses, however, remained significant, though they narrowed: after widening to Rs 674.6 crore in 2023-24, Rapido trimmed its net loss to Rs 370.7 crore in 2024-25.