Ride-Hailing Shakeup, Deepinder Goyal Eyes Aviation, and Walko Food's Acquisition

The Indian ride-hailing sector is undergoing a transformation. Drivers have always paid hefty commissions, often 20 to 40 percent of every fare, to platforms like Ola and Uber. In return, they got access to a steady flow of riders. But that system had its cracks. Drivers were unhappy, and riders complained about rising fares. And slowly, a different model started to emerge - one that doesn’t rely on commissions at all.

Now, Ola, Uber, Rapido, Namma Yatri, and even a government-backed player are experimenting with a new idea - fixed subscriptions for drivers. Instead of taking a slice of every ride, platforms charge drivers a small daily fee - Rs 9, Rs 25, or Rs 67 - depending on the app and city. In return, drivers keep 100% of what they earn. For the customer, it could mean lower fares.

The shift didn’t happen overnight. It was forced by a combination of things - driver protests, new government rules, social media outrage, and the rise of challenger apps. In Bengaluru, for instance, many auto-rickshaw drivers had stopped using Uber and Ola because of high commissions. Newer players like Namma Yatri entered with zero commission and full transparency. It quickly gained ground in 15 cities and now facilitates nearly 190,000 rides every day. The government's new Sahkar Taxi is also a zero-commission service. Rapido followed with its own version of this model. Even Uber, known for holding firm to its global playbook, began experimenting with daily driver fees in India.

In the US, Uber and Lyft still take up to 40% of every ride. In New York, a cooperative model offers lower cuts and profit-sharing, but nothing like India’s subscription model exists yet. If this model proves sustainable, India might set the tone for what comes next globally.

Is this model sustainable for Ola and Uber? That’s the big question. A fixed daily fee gives drivers predictability, but for the platform, it can create volatility. If fewer rides happen, there’s no extra income to cushion costs. Ola and Uber rely heavily on dynamic pricing and peak-hour commissions to fund their operations and profits. In the subscription model, that extra room disappears. Unless they significantly scale up ride volumes or find new ways to monetise the user base - ads, premium features, or partnerships - this model may not offer the margins they’re used to.

There are other challenges too. Platforms must maintain service levels despite thinner margins. Driver churn could increase if subscription benefits don’t match expectations. And in a price-sensitive market, convincing more drivers to switch to paid plans will need incentives. Plus, Every state has different rules. What works in Bengaluru may not in Delhi or Chennai.

Therefore, here’s what we suggest. First, ride-hailing platforms must see this not as a stopgap but a long-term shift. Build tools to help drivers succeed under the subscription model, such as daily insights, incentives, and suggestions for increasing daily rides. Second, improve transparency around pricing and earnings. Riders and drivers both need to know how money flows. Third, explore tiered subscriptions where benefits vary by price. Lastly, work with state governments to create unified digital mobility frameworks.

Platforms should focus on ancillary services like insurance, vehicle loans, fuel cards, service partnerships, and advertising. Ola and Uber have already experimented in these areas. But with a subscription model, those extra features could actually make most of the money. The more services a platform can wrap around a driver’s daily routine, the more viable the subscription model becomes.

This entire shift, from commission to subscription, is also about power. Who controls the ride-hailing narrative in India? For years, it was Ola and Uber. Now, with smaller players, community-driven platforms, and government cooperatives stepping in, the market is fragmenting. Competition may force all players to offer better terms, more transparency, and fairer pricing.

In the long run, this shift might bring the ride-hailing sector closer to a healthier equilibrium. Drivers will be more satisfied, and riders may pay less. And platforms are forced to innovate beyond squeezing margins. We’re watching the beginning of a new model, one shaped by local realities and community demands rather than imported playbooks.

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.

“Sapno Ki Lambi Udaan”: Zomato’s Deepinder Goyal Eyes Regional Aviation Venture With LAT Aerospace

Zomato’s Deepinder Goyal is now eyeing the skies with LAT Aerospace, a startup building short take-off aircraft for regional travel.

Teaming up with ex-Zomato COO Surobhi Das, he's betting big on India's untapped air routes. After a quiet $20 Mn investment in March, this aviation play is finally taxiing into view.

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“Ice Cream Khaungi , Kashmir Jauungi”: Walko Food Company Buys Meemee’s Ice Creams To Enter Artisanal Dessert Vertical

NIC Ice Cream’s parent, Walko Food Company, has scooped up Mumbai’s Meemee’s to dip into the artisanal dessert space. The deal adds Meemee’s quirky flavours to Walko’s growing portfolio and gives it a sweet entry into the premium segment.

This comes as Walko doubled its revenue to ₹2.4 Cr in FY24, clearly, business is melting in the right direction.

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“Janmo Ke Saathi”: SatSure Partners Dhruva Space To Offer Earth Observation Solutions

SatSure and Dhruva Space are teaming up to launch Earth Observation-as-a-Service (EOaaS) with a full-stack punch.

The MoU will blend KaleidEO’s sharp analytics with Dhruva’s satellite tech to serve both defence and commercial sectors. Think of it as space-age surveillance, tailored for everything from crops to combat zones.

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“Congratulationa And Celebrations”: MobiKwik Elevates Saurabh Dwivedi To CTO

MobiKwik has just promoted Saurabh Dwivedi to Chief Technology Officer as it bets big on AI to reboot its growth story.

Alongside, Dhruv Wadhera steps up as SVP for offline payments. The shake-up comes amid a swing from last year’s profits to a ₹121 Cr loss in FY25.

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1. IPO-bound Infra.Market has secured an extra $50 Mn in debt from Mars Growth Capital, extending its total facility to $150 Mn. The fresh funds aim to fuel the infra-tech firm’s next growth phase ahead of its public debut.
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2. Lab-grown diamond startup Aukera has raised $15 Mn in Series B funding led by Peak XV. The sparkle of fresh capital will fuel its retail expansion and add shine to its product lineup.
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3. B2B grocery platform Jumbotail has entered the unicorn club with a $120 Mn funding round led by SC Ventures. With total capital now at $263 Mn, the company is stacking up both groceries and investor confidence.
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