Government-backed e-commerce platform DigiHaat on 22 May 2025 announced the nationwide expansion of its 'DigiHaat Rides' mobility service to 55 cities across India, partnering with driver-owned cooperatives Bharat Taxi and Namma Yatri. The rollout positions the platform as a citizen-first alternative to conventional ride-hailing giants.

Cities Covered in the Expansion

Previously limited to Delhi NCR and Bengaluru, DigiHaat Rides has now been extended to major urban centres including Ahmedabad, Chandigarh, Chennai, Hyderabad, Jaipur, Kolkata, Kochi, Lucknow, Mumbai, Surat, Thiruvananthapuram, and Vadodara. Several tier-2 and tier-3 cities have also been brought under the service umbrella.

The Cooperative Model: How It Differs

DigiHaat's mobility model departs from the commission-heavy structure of mainstream ride-hailing platforms. According to the company, drivers retain greater control over their earnings and operational decision-making, while passengers benefit from transparent pricing and community-based accountability. The platform charges lower commissions compared to conventional players, a structural choice it says is central to the cooperative ethos.

Notably, this expansion comes at a time when driver dissatisfaction with surge pricing and high platform cuts has fuelled protests across India's gig economy, making the cooperative model a timely proposition.

What the CEO Said

Rahul Vij, CEO of Nirmit Bharat, framed the initiative as a challenge to the dominant shareholder-first logic of digital platforms. 'We are not building another ride-sharing app. We are proving that India can build digital infrastructure that serves citizens first, not shareholders. Every driver on DigiHaat retains their earnings. Every user gets a genuine choice. This is what inclusive digital participation looks like,' he said.

Integration with DigiHaat's Broader Platform

The rides service will be integrated with DigiHaat's existing suite of offerings — including metro ticketing, food delivery, shopping, and grocery services — as part of an effort to build a unified digital platform for everyday needs. The company describes itself as a government-backed initiative focused on strengthening digital participation for Indian producers, artisans, farmer groups, and enterprises.

DigiHaat has also invoked Prime Minister Narendra Modi's Digital India vision, stating the expansion aims to improve 'Ease of Living' and encourage inclusive digital access across the country. Whether the cooperative model can sustain scale against well-capitalised rivals will be the defining test ahead.