Karnataka Bans Bike Taxis: 1.5 Lakh Riders Face Job Loss as Rapido, Ola, Uber Halt Services

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The Karnataka High Court has reaffirmed its earlier decision to ban bike taxi services provided by companies such as Rapido, Ola, and Uber, with the suspension taking effect from June 16, 2025. This move will directly affect around 1.5 lakh Rapido riders and disrupt nearly 50 lakh rides each month, posing a serious challenge to last-mile connectivity and the livelihood of drivers—many of whom rely on the platform as their main source of income. The ban arises due to Karnataka not implementing certain provisions of the national Motor Vehicles Act that permit contract-based two-wheeler services. Despite appeals from organizations like Nasscom for an extension and the creation of a regulatory framework, no relief has been offered yet, and the matter is set for further hearing on June 24.

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StartupNews.fyi is a leading global startup and technology media platform known for its end-to-end coverage of the startup ecosystem across India and key international markets. Launched with the vision of becoming a single gateway for founders, investors, and ecosystem enablers, StartupNews.fyi has grown steadily over the years by publishing tens of thousands of verified news stories, insights, and ecosystem updates, reaching millions of startup enthusiasts every month through its digital platforms and communities.

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Karnataka Bans Bike Taxis: 1.5 Lakh Riders Face Job Loss as Rapido, Ola, Uber Halt Services

The Karnataka High Court has reaffirmed its earlier decision to ban bike taxi services provided by companies such as Rapido, Ola, and Uber, with the suspension taking effect from June 16, 2025. This move will directly affect around 1.5 lakh Rapido riders and disrupt nearly 50 lakh rides each month, posing a serious challenge to last-mile connectivity and the livelihood of drivers—many of whom rely on the platform as their main source of income. The ban arises due to Karnataka not implementing certain provisions of the national Motor Vehicles Act that permit contract-based two-wheeler services. Despite appeals from organizations like Nasscom for an extension and the creation of a regulatory framework, no relief has been offered yet, and the matter is set for further hearing on June 24.

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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Editorial Team
StartupNews.fyi is a leading global startup and technology media platform known for its end-to-end coverage of the startup ecosystem across India and key international markets. Launched with the vision of becoming a single gateway for founders, investors, and ecosystem enablers, StartupNews.fyi has grown steadily over the years by publishing tens of thousands of verified news stories, insights, and ecosystem updates, reaching millions of startup enthusiasts every month through its digital platforms and communities.

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