Paytm plans to step into the ride-hailing sector by introducing auto-rickshaw services in metropolises such as Delhi, Bengaluru, and Chennai via the Open Network for Digital Commerce (ONDC), as per a report from Money Control. The move is aimed at disrupting the market dominance currently held by Ola and Uber.
As per the publication, the new ride-hailing feature is currently in testing on the Paytm app and is accessible to a limited number of users. In recent years, Paytm has gradually expanded its presence on ONDC, launching services in various e-commerce sectors, including food delivery, grocery, fashion, and electronics.
The report adds that an insider with knowledge of the project stated that extensive software testing and integration are required before each rollout. They also indicated that Paytm could potentially extend its services to include cab bookings similar to Ola and Uber at a later stage.
When users book an auto-rickshaw ride through Paytm, the app displays a message indicating that the feature is "Powered by Namma Yatri," which is the seller-side platform for these transactions. The Juspay-backed platform also manages several consumer-facing ride-hailing apps on ONDC.
Meanwhile, the digital payments and financial services company has confirmed the resignation of its Chief Operating Officer (COO) and President, Bhavesh Gupta, in a regulatory filing dated May 4th.
In his resignation letter, Gupta stated his intention to step down effective May 31st due to personal reasons, while expressing his commitment to continue supporting the company in an advisory capacity within the office of the Chief Executive.
Paytm acknowledged Gupta's decision and expressed gratitude for his contributions, mentioning that his resignation has been accepted and he will be officially relieved from his duties as of the close of business hours on May 31, 2024. The company also highlighted its confidence in its future trajectory, citing the strong leadership established in the payments and financial services sectors in recent years.
