Ride-hailing giant Uber has officially entered India's business-to-business (B2B) last-mile logistics market with the launch of Uber Direct, a service powered by the Open Network for Digital Commerce (ONDC). This move positions Uber in direct competition with established enterprise logistics providers like Shadowfax, Delhivery, Ecom Express, Xpressbees, and Shiprocket.

Uber Direct, a white-label delivery service built on ONDC, enables businesses to access Uber's logistics network for last-mile delivery. Unlike competitors that work directly with online and offline merchants, Uber Direct will initially focus on fulfilling orders for merchants and brands registered on ONDC and accessible through ONDC-integrated buyer apps.

The service has already gone live in Bengaluru, where Uber drivers are handling grocery deliveries for Zepto and KPN Farm Fresh. The company plans to expand its offerings to include food deliveries for quick-service restaurant (QSR) brands such as KFC, Burger King, Taco Bell, and Rebel Foods.

Prabhjeet Singh, head of Uber India, stated that Uber Direct will initially leverage the company's existing two-wheeler fleet. This strategy effectively transforms every Uber bike into a multi-use asset, facilitating passenger rides, consumer couriers through Uber Courier, and B2B ONDC logistics. Singh emphasized that the ONDC tie-up provides bike-taxi drivers with an additional income stream. Uber currently employs 1.4 million drivers in India.

Uber's entry into the B2B logistics space through ONDC is expected to provide businesses with a plug-and-play delivery solution, utilizing Uber's extensive logistics fleet. Uber Direct operates independently of Uber Courier, with customers placing orders directly through the seller's website or app. Uber manages the delivery process without direct communication with the end-user until the driver arrives.

Vibhor Jain, acting CEO and Chief Operating Officer of ONDC, noted that Uber Direct demonstrates the strength of interoperable commerce and will help businesses access a standardized, scalable logistical backbone.

In addition to its B2B logistics play, Uber is also expanding its services through ONDC to include metro ticketing. The Uber app now allows customers to book tickets for the Delhi Metro, and similar programs have been introduced in Chennai and Mumbai. In Bengaluru, the integration has been praised as an improvement in first- and last-mile connectivity.

Looking ahead, Uber intends to expand its metro ticketing integrations and Uber Direct to additional cities in 2026. The company is also considering introducing Uber Shuttle, an additional mobility option, in Bengaluru. Uber Shuttle is currently active in Delhi and Kolkata.