The company also closed hail rashIts quick commerce arm, said people in the know.
In an official response, a company spokesperson confirmed the development and said that Ola has reevaluated its priorities and decided to wind up the Accelerated Commerce business. The infrastructure, technology and capabilities of Ola Cars will now be “reengineered towards our growth”. Ola Electric sales and service network, ”said the spokesperson.
The company claimed that its ride hailing business is delivering its highest ever Gross Merchandise Value (GMV) month on month as well as very strong profits and its young EV business is making India’s largest EV in just a few months of launch. Largest EV company.
“We are very excited and focused on our mission of accelerating the electric revolution in India and expanding our mobility services to serve 500 million Indians. With our strong balance sheet, we are looking forward to building electric cars. , SAIL is accelerating investment and growth in new sectors such as manufacturing and financial services,” the spokesperson said.
Ola launched its used car platform last October and appointed Arun Sirdeshmukh as its chief executive. It works with Spinny, Droom, Cars24 and . was rival against the likes of olx,
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However, Sirdeshmukh left the company last month. In the same month, the company shut down operations in five cities, BusinessLine quoted sources as saying.
Ola Cars was planning to expand to 100 cities with 300 centres. It also had plans to hire more than 10,000 people in areas such as vehicle diagnostics, service, support and sales. Most of the people aboard Ola cars are now likely to be absorbed in the Ola Electric business.
The closure of used car operations comes at a time when the used car market in India is booming and scaling new heights.
To be sure, Ola has a long history of shutting down businesses as Agarwal jumped from one big idea to another. In April, the company reportedly let go of 2,100 employees operating its dark store for Ola Dash. ET Prime recently reported that it had started reducing dark stores and halted its expansion plans.
Then there is the food business. Launched by Ola in 2015 Ola Cafe But after a year it was closed. In 2017, it acquired Foodpanda, but closed the business in 2019 and furloughed employees. Later it focused on the cloud kitchen business Ola Foods But reportedly the brands never caught traction and the company is selling its own kitchen appliances.