Ather to launch affordable scooter with battery subscription, plans major expansion
Ather Energy is preparing to roll out a more affordable electric scooter alongside a Battery-as-a-Service (BaaS) model, aiming to increase accessibility and compete with industry leaders like Ola Electric, TVS and Bajaj. The company is also planning significant network expansion and new technology launches in the coming months.
Ravneet Phokela, Chief Business Officer at Ather, confirmed that the BaaS model will soon be introduced. This approach allows customers to purchase the scooter without the battery, significantly reducing the vehicle’s upfront price. Users will instead pay for battery usage either on a subscription basis or per kilometre travelled. With batteries accounting for nearly 30-40 percent of an electric vehicle’s price, the BaaS model is expected to lower costs and make EVs more appealing to price-conscious buyers.
Phokela stated that while consumers recognise the long-term savings of EV ownership, many still find the initial purchase price a barrier. The BaaS option, he believes, could help overcome that challenge. Though no official launch date has been announced, the BaaS model could be revealed within a week.
Ather’s initiative follows similar moves from its largest shareholder, Hero MotoCorp, which is set to introduce the BaaS model for its Vida VX2 electric scooter starting today.
In addition to the BaaS model, Ather Energy is pursuing an aggressive expansion strategy. The company plans to increase its retail presence from the current 350 outlets to over 750 by the end of 2025. This expansion focuses on strengthening its footprint in high-demand metro areas as well as entering new markets, especially in North India. Notably, Ather is maintaining a 1:1 ratio between sales outlets and service centres to ensure consistent after-sales support.
The company is also working on unveiling its new “EL” platform, which promises versatility and cost efficiency. Ather has confirmed that it will showcase the new platform, along with concept vehicles, in August. Additionally, the brand is developing next-generation fast-charging technology and an upgraded software system called Ather Stack 7.0, aimed at enhancing charging speed and vehicle performance.
Despite growing competition in the affordable EV space, Ather has so far avoided introducing models priced under Rs. 1 lakh. Its current product lineup includes the flagship 450 series, priced between Rs. 1.2 lakh and Rs. 1.9 lakh, and the recently launched Rizta S family scooter, which starts at Rs. 1.1 lakh.
With its upcoming affordable scooter, BaaS model, expanded retail network and new technological developments, Ather Energy is positioning itself to capture a larger share of India’s rapidly growing electric two-wheeler market. These efforts come as rivals focus on aggressive pricing and expanding reach, underscoring the intensifying competition in the sector.
