Ola to launch shuttle service in Bengaluru, Gurgaon

Firm plans to start 500 mini buses in over hundred routes in these two cities and expand nationally in coming months

Ola will launch its shuttle service from September 21 allowing its users to tap for a ride than cabs on over 100 routes in Bengaluru and Gurgaon.

The firm plans to introduce 500 mini buses in over hundred routes in these two cities and expand nationally in the coming months. An Ola spokesman confirmed the development.

Ola's move into offering shuttle service will address the growing gap in public transport in urban centres such as Bengaluru, where larger concentration of own vehicles clog traffic in most parts of the city. This also would help Ola gain a much larger lead in retaining users on its platform over its global rival Uber.

Ola, valued at tenth of Uber, with a valuation of $55 billion, has over 80 per cent share in the app-based taxi aggregation market in India.

The Bengaluru firm founded in 2011 has raised $ 900 million, including $ 225 million in September from global investors.