Rapido's Bold Ride, Apple Research Exposes AI Hype, and India’s 2nm GPU

Rapido has been one of those startups that has quietly grown without getting much attention, unlike other startups that were always in the news. It looks like they're finally pulling back the curtains. Over the past few months, Rapido has made some bold moves, and looks like they have ambitions beyond just offering bike rides.

Their biggest move has been entering food delivery with a pilot in Bangalore; this can shake up the market. Zomato and Swiggy, currently charge restaurants anywhere between 16% to 30% as commission. Rapido, on the other hand, plans to charge just 8% to 15%. For restaurants struggling with high platform fees, this is a welcome change. To top it off, Rapido has tied up with the National Restaurants Association of India. This pilot program is expected to begin in Bengaluru soon, under the name "Ownly."

We have seen many new entrants try to take on the duopoly of Swiggy and Zomato (remember Amazon’s pilot and ONDC’s push), but Rapido’s entry should be worth watching. They are proposing a flat delivery fee instead of commissions, and asking restaurants to keep prices the same online and offline. It’s a small shift in approach, but it could spark a major movement.

Rapido just announced a raise of ₹125 crore from Nexus Venture Partners, adding to the ₹250 crore they had already raised from Prosus. With a total raise of $200 million in their Series E round, Rapido’s valuation has now crossed the $1.1 billion mark.

Rapido aims to reach 500 more cities, with a focus on Tier 2 and Tier 3 cities. They’ve already expanded in Andhra Pradesh, launching in 14 new cities.

We have also heard that Rapido is planning to set up a separate company for financial services. This may look strange at first but it makes sense. The idea is to start by helping their own riders, maybe with loans or savings products. This move can give Rapido an edge - both in terms of keeping their riders happy and loyal, and creating a new revenue stream.

All that said, not everything is perfect. Rapido has had its share of issues. In many cities, bike taxis are still in a legal grey area - the government regulations are still not clear. Local transport authorities in places like Delhi and Maharashtra have raised concerns, even banning bike taxis at times. This uncertainty can be a big hurdle for Rapido’s core business. Also, while food delivery is exciting, entering this space requires deep pockets and consistent service. Can Rapido match the scale and logistics of Zomato and Swiggy? Time will tell.

From a user’s point of view, Rapido’s services have been affordable and reliable. But consistency remains a concern. In smaller cities, the number of available bikes is still low. And we’ve heard complaints from some users about pricing transparency and ride cancellations. Even though these problems appear tiny, they can become big enough to cause major failures.

We’ve always appreciated startups that solve real problems with simple ideas. Rapido did that with bike taxis - offering cheap, quick rides when auto fares were going through the roof. Their new moves show they want to become more than just a ride-hailing app. Whether it's food, finance, or empowering women, Rapido is trying to build something bigger. But they’ll have to balance ambition with consistency.

Let’s go through what else is happening in Indian startup world - Grab your simmering cup of StartupChai.in and unwind with our hand-brewed memes.

“It’s All An Illusion”: Apple research predicts reasoning models may fall short while faced with complex problems

Apple’s latest research casts a quiet shadow on the AI hype train - turns out, even the smartest reasoning models falter when problems get truly complex.

In a paper titled The Illusion of Thinking, Apple found that these models hit a strange wall: they try harder up to a point, then suddenly give up. So while benchmarks look shiny, real-world complexity still leaves AI scratching its synthetic head.

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“Sapne Dekhe Bade Bade”: Wakefit Converts Into Public Entity In Run-Up To IPO

Wakefit is fluffing up its mattress game - it's now officially a public company as it preps for an IPO snooze-fest worth ₹1,500–2,000 Cr.

The D2C sleep giant has even added five independent directors to its board, setting the bed for investor confidence. Looks like Wakefit’s not just helping India sleep better, but dream bigger too.

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“Ab Hogi Kranti, Jai Mahakal”: India To Build Its Own 2nm GPU By 2030 To Rival NVIDIA

India is quietly gearing up for a semiconductor leap, as C-DAC sets its sights on developing a 2nm GPU by 2030.

Backed by $200 million in funding and a likely partnership with TSMC, the initiative aims to produce chips at nearly half the global cost. In a world dominated by NVIDIA, this marks a serious step toward technological self-reliance.

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1. EV intelligence startup Vecmocon has closed its Series A round at $18 Mn, led by Ecosystem Integrity Fund. With backing from Aavishkaar, BII, and Blume Ventures, the deep-tech firm is charging ahead in India's clean mobility race.
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2. Defence tech startup Sanlayan has secured ₹186 Cr in Series A funding to power indigenous innovation. The round saw support from big names like Ashish Kacholia, Lashit Sanghvi, and Jungle Ventures.
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