BluSmart Faces Operational Shake-Up

EV ride-hailing company BluSmart is undergoing a significant operational transformation, leading to widespread booking issues across major Indian cities such as Delhi-NCR, Bengaluru, and Mumbai. Passengers report being unable to book rides from key locations, including Delhi Airport and parts of Gurgaon, encountering messages like "no slots available" on the app.

Strategic Shift Amid Financial Strains

The disruption stems from BluSmart’s decision to suspend ride-hailing services in select areas as it transitions its fleet to Uber’s platform. This move marks a strategic shift in its business model, prompted by mounting financial difficulties, including high cash burn rates and challenges linked to Gensol Engineering, a company promoted by BluSmart co-founder Anmol Singh Jaggi.

Regulatory Actions and Future Prospects

The situation has been exacerbated by recent regulatory action against Gensol Engineering by the Securities and Exchange Board of India (Sebi), alleging misuse of funds. As BluSmart pivots away from direct ride-hailing services, integrating its EV fleet into Uber's network appears to be a survival strategy amidst ongoing scrutiny and financial instability.