To expand its bouquet of transportation solutions. Indian cab aggregator Ola is set to offer self-drive service with a planned investment of $500 million in the next few weeks.
The company shall resort to a mix of debt and equity to fund the new venture, a report appearing in ET said. Under the plan, Ola is expected to deploy nearly 10,000 vehicles, including luxury sedans and SUVs, in major cities in the coming months.
The scale of the proposed service will make Ola one of the largest self-drive car rental companies in India. At present, the sector is highly fragmented with small regional players and some larger players including Myles, Sequoia Capital-backed Zoomcar and Drivezy.
The Bengaluru based company is currently testing the market for the self-drive offering. On the basis of feedbacks, it shall start the service in various formats such as rentals, subscription and corporate leasing in select cities in the coming weeks.