Why Uber gives up commission revenue on autorickshaw rides

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Why Uber gives up commission revenue on autorickshaw rides
Why Uber gives up commission revenue on autorickshaw rides

Dara Khosrowshahi, CEO of Uber, driving an electric three-wheeler during his India visit last year; image credit: Twitter

Synopsis

The global major was forced to adopt an unattractive revenue model championed by an unheralded local startup. But this is a strategically important shift for Uber.

Namma Yatri’s launch of an open mobility platform in November 2022 was deceptively humble. Two years down the line, the disruptive revenue model that the small startup introduced resulted in the end of an industry practice in an important ride-hailing category. Cab aggregation majors adopted the Namma Yatri model and stopped charging autorickshaw drivers a significant portion of their ride fare as commission With Uber transitioning to the

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