The Indian electric vehicle (EV) market is witnessing a fascinating battle of strategies between two prominent players: Ather Energy, led by Tarun Mehta, and Ola Electric, under the leadership of Bhavish Aggarwal. Both companies aim to revolutionize India's two-wheeler landscape, but their approaches to achieving this goal differ significantly. As of fiscal year 2025, cumulative EV sales in India have reached 6,165,964 units, with electric two-wheelers accounting for over 50% of the market share.

Ather Energy: The Premium, Technology-Focused Approach

Ather Energy, founded by IIT Madras graduates Tarun Mehta and Swapnil Jain, has carved a niche for itself as a premium EV brand emphasizing technology and user experience. Ather's business model revolves around selling high-performance electric scooters equipped with smart features like connected dashboards, navigation tools, and customizable riding modes. The company targets urban commuters who are tech-savvy and willing to invest in premium products.

Instead of chasing the lowest price points, Ather focuses on delivering a superior product and building a strong brand. "We don't play on discounts. What we win and lose on is our products and the experiences we build for the consumers," said Tarun Mehta. This strategy is reflected in Ather's focus on in-house development of critical components like battery packs and electric motors, allowing them to optimize performance and reliability for Indian conditions.

Ather also operates its own charging infrastructure, Ather Grid, which provides fast-charging stations across key Indian cities. As of June 2025, Ather has over 1,000 fast-charging points across 80+ cities in India. The company's focus on building a robust charging ecosystem addresses range anxiety, a major barrier to EV adoption. Moreover, Ather has adopted a direct-to-consumer (D2C) sales model, selling online and through its exclusive Ather Experience Centers to ensure complete control over the customer journey.

Recently, Ather unveiled its new EL platform, which promises a more efficient and cost-effective production process for e-scooters. By reducing the number of parts and opting for a unibody steel chassis, the company anticipates faster assembly times and lower expenses. Ather is also expanding its retail presence, aiming to increase its market share by growing from 416 outlets to 700 by March next year. The company aims to capture a 20% market share in India's EV scooter market by FY26. Despite a strong market performance, Ather's CEO Tarun Mehta has criticized India's Production-Linked Incentive (PLI) scheme as unfavorable to startups.

Ola Electric: The Mass-Market, Vertically Integrated Approach

Ola Electric, a subsidiary of Ola Cabs founded by Bhavish Aggarwal, has adopted a different strategy, aiming to capture the mass market with affordable electric scooters. Ola's business model is centered around the development, manufacturing, and deployment of electric vehicles, with a focus on affordability, performance, and sustainability. The company has invested heavily in building a widespread charging infrastructure to address the charging needs of EV users.

Bhavish Aggarwal's vision is to create a vertically integrated EV ecosystem, controlling everything from cell manufacturing to service centers. Ola Electric intends to manufacture its own cells, whereas Ather relies on its vendors for cell supplies. Vertical integration, technology development, and in-house capability building are the pillars of Ola's strategy. Ola Electric is also investing more heavily in research and development (R&D) to boost its capacity and innovate its offerings. As of FY24, Ola Electric invests 7.69% of its operational revenue to R&D, while Ather allocates 6.6%.

Ola Electric has been more aggressive in its marketing strategy, leveraging social media, celebrity endorsements, and massive ad campaigns to create a buzz around new launches. The company also owns a large network of experience and service centers. However, Ola Electric has faced challenges in recent times, with its market share dropping from 52% in June 2024 to 17.35% in July 2025. Registrations also fell significantly during this period. Despite these challenges, Bhavish Aggarwal has outlined a strategy to regain a 25-30% market share through vertical integration, new product launches, and technology development.

Ola Electric is also shifting its focus towards profitability and operational stability. The company expects its auto business margins for FY26 to improve with production-linked incentives and projects that the vertical will turn profitable by the September quarter. Ola Electric has shelved plans to make electric cars and will focus on two-wheelers and three-wheelers.

Clash of Strategies and the Road Ahead

The contrasting strategies of Ather Energy and Ola Electric highlight the different approaches to tackling the Indian EV market. Ather is betting on a premium, technology-driven strategy, while Ola is pursuing a mass-market, vertically integrated approach.

The Indian EV market is projected to grow at a CAGR of 40.7% from 2025 to 2030. Both Ather and Ola have the potential to play a significant role in this growth, but their success will depend on their ability to execute their respective strategies effectively. Ather's focus on quality and customer experience has created a strong and loyal customer base. Ola's aggressive market tactics and extensive distribution network give it a competitive edge. As the EV landscape evolves, the ability to innovate, expand, and meet customer needs will determine the ultimate winner in this electrifying race.