Rapido suspends bike taxi service in Karnataka, rolls out ‘bike parcel’ service

Bike taxis will no longer be allowed to operate in Karnataka starting Monday, following the Karnataka High Court's refusal to stay a government order.

Karnataka’s ban on bike taxi services officially took effect on Monday, following a Karnataka High Court decision that upheld the state government’s directive to halt such operations until a regulatory framework is in place.

The Karnataka government had earlier ordered bike taxi aggregators to cease operations, citing the need for proper rules and safety measures.(HT_PRINT)

The order deals a major blow to platforms like Rapido, Ola, and Uber, which had been facilitating two-wheeler ride services in cities like Bengaluru.

Rapido, one of the most prominent players in the sector, responded by removing its bike taxi option from the app in Karnataka. In its place, users now see a "bike parcel" service, with a message explaining the change.

“Starting June 16, 2025, our Bike Taxi services in Karnataka will be paused in compliance with recent High Court orders," Rapido announced via its app. 

"While we deeply believe in the value bike taxis bring to daily commuters, we respect the law and will fully abide by the directive. We remain committed to the communities we serve and hopeful for a future where convenient, affordable mobility is accessible to all.”

Check out the statement here:

Rapido had earlier challenged the ban in court.(Rapido)

The Karnataka government had earlier ordered bike taxi aggregators to cease operations, citing the need for proper rules and safety measures. Rapido and others had challenged this in court, but the High Court declined to grant interim relief, effectively allowing the state’s directive to come into force.

The development has triggered concern among gig economy workers who rely on these platforms for their livelihoods. The Namma Bike Taxi Association, representing a large number of drivers, has written to Congress MP and Leader of Opposition in the Lok Sabha Rahul Gandhi, seeking his support.

In a letter cited by news agency PTI, the association said, “Over one lakh gig workers in Karnataka are losing their right to earn and feed their families due to this blanket ban. We urge you to intervene and help safeguard our livelihoods.”

The letter also highlighted the essential role bike taxis play in urban commuting, particularly in congested cities like Bengaluru, where they offer quick and affordable transport options.

While the Transport Department has cited safety and regulatory gaps for the ban, workers’ groups argue that instead of imposing a complete prohibition, the state should introduce licensing norms and operational guidelines to allow them to function legally.