StopDownOpen the app

Policy · Mobility & Logistics

Karnataka High Court lifts bike taxi ban

By ·

Rapido logo
Date
Company
Rapido
What it does
Bike taxi and cab aggregator service
Kind
Policy
Founded
2015
Sector
Mobility & Logistics

What they do

Rapido provides bike taxi and cab aggregation services in India

What happened

The Karnataka High Court lifted a ban on bike taxis imposed in April 2025

Why it matters

The court directed the state government to consider registration applications for two-wheelers as transport vehicles

The details

  • The Karnataka High Court has lifted the ban on bike taxi operations in the state.
  • This ban was originally imposed by a single judge in April 2025.
  • Rapido, along with Ola and Uber, had filed appeals against the initial order.
  • The division bench comprising CJ Vibhu Bakhru and Justice CM Joshi heard the case.
  • The court noted that the state government cannot forbid motorcycle registration applications.
  • Operators must now file applications to register two-wheelers as transport vehicles or taxis.
  • Uber expressed readiness to engage with the state government on operationalizing the ecosystem.

The bigger picture

  • The central government revised Motor Vehicles Aggregator Guidelines in July to allow bike taxis.
  • Power to allow aggregation resides with state governments who may impose permit fees.
  • Bike taxis faced similar bans in New Delhi and Mumbai previously.
  • The high court pulled up the state government for delaying regulation formation in August 2025.

About the business

  • Rapido operates as an aggregator for bike taxis and cab services.
  • The company facilitates ride bookings through its digital platform.
  • Operations depend on local regulatory frameworks and vehicle registrations.
  • The business model relies on aggregating independent drivers and vehicles.
  • Regulatory compliance is critical for maintaining active service in any state.

What happens next

  • Operators need to register their fleets as transport vehicles to resume operations.

About Rapido

Product
A ride-hailing app focused on bike taxis, with expanding mobility and delivery offerings.
Customers
Commuters and riders seeking low-cost transport, plus drivers earning through the platform.
How it makes money
Charges commissions or service fees on rides and related marketplace transactions.
What sets it apart
Uses two-wheelers to provide low-cost, flexible urban transport and matching.
Operations
Operates in multiple Indian cities and is building a broader super-app model.

Other articles talking about it

Read it as a card in the app

More on Rapido

Everything on Rapido →

Same day

All startup news on 23 January 2026 →