India’s used two-wheeler market is massive, with 25 million units changing hands annually—one and a half times larger than the new two-wheeler market. Yet despite this scale, the sector remains plagued by trust issues and inconsistent refurbishment quality.
Enter Narain Karthikeyan, India’s first Formula One driver, who’s now steering DriveX to transform this fragmented industry. In an exclusive interview with TechObserver.in’s Mohd Ujaley, he said: “The significant challenge undoubtedly lies in establishing trust through refurbishment quality.”
“We are addressing this precisely through AI-powered technological solutions that create much-needed visibility into the entire reconditioning process, bridging that trust gap systematically,” he said.
Edited Excerpts:
Could you explain DriveX’s key focus in the used two-wheeler market? What challenges does it tackle and how?
DriveX operates predominantly in the used two-wheeler market, focusing on procurement, refurbishment and retail across all brands. We initially launched in Tamil Nadu and have since expanded to Karnataka, with additional retail touch-points now in the NCR region.
The market itself is substantial, with an annual size of 25 million units—one and a half times larger than the new two-wheeler market. In any B2C pre-owned vehicle platform, customers prioritise quality and trust, which is precisely what we aim to deliver.
Initially, we outsourced vehicle refurbishment but soon realised the quality did not meet our standards or customer expectations. Learning from other used vehicle platforms, we brought refurbishment in-house. We now operate two refurbishment centres—one in Hosur, near the TVS factory (given that TVS is our majority stakeholder) and another in Coimbatore, Tamil Nadu.
By ensuring high refurbishment standards, we have been able to offer customers vehicles that qualify for mainstream financing. Additionally, we provide a one-year warranty and three free services, bridging the gap between new and used vehicles. While new two-wheelers sit at a higher price point, we deliver comparable benefits at a more accessible cost.
As the founder of DriveX, I believe internal combustion engine (ICE) vehicles will remain dominant in India for years to come. Our focus is on driving efficiency, sustainability and market maturity. The updated Motor Vehicle Act of 2023 further supports platforms like ours by streamlining legitimate operations in this space. This strategic approach has established DriveX as India’s largest digital pre-owned two-wheeler mobility platform.
Beyond two-wheelers, where do you see AI transforming the broader mobility sector?
I believe the adoption of AI in the mobility sector holds significant potential, particularly for a developing nation like ours. While India’s infrastructure is rapidly improving—both in terms of vehicle quality and road networks—the rate of accidents continues to rise. This is largely because vehicles are becoming more sophisticated and powerful, yet the civic sense of driving and riding has not kept pace with these advancements.
In this context, AI can play a transformative role. Connected vehicles equipped with Advanced Driver-Assistance Systems (ADAS) technology, if made affordable and widely accessible, could dramatically enhance road safety. Imagine a scenario where such systems are integrated across all vehicles—this would likely lead to a substantial reduction in accidents.
As someone who has been closely associated with high-performance driving—being one of India’s first Formula One drivers—I understand the critical importance of safety alongside technological progress. AI-driven solutions in mobility aren’t just about convenience; they represent a necessary step toward safeguarding lives on our roads while keeping pace with the evolution of transportation.
The key lies in making these innovations scalable and cost-effective so they can benefit the broader population rather than remaining limited to premium segments. If implemented thoughtfully, AI could help bridge the gap between vehicle capability and responsible usage, ultimately creating a safer and more efficient mobility ecosystem for India.
Drawing from your Formula One experience, how do the speed, agility and scalability compare between racing and building a company like DriveX?
The parallels between Formula One and building DriveX are quite significant, with two critical elements standing out above all – team and agility. Much like in motorsport, as a startup we have had to demonstrate remarkable adaptability. Within just 36 months, we have successfully positioned DriveX as the preferred platform for quality used two-wheelers through continuous iteration and improvement.
We have systematically addressed customer pain points, evolving to what is now a highly mature operation. Our innovation in this space includes launching the industry’s first customer-facing self-inspection application – a genuine first for this market segment.
The team dynamic mirrors Formula One’s emphasis on technical excellence and precision execution. With technology playing such a pivotal role, we have assembled a strong digital team dedicated to developing cutting-edge solutions. Operational procurement forms the backbone of our business, much like the technical operations in racing, and we have applied the same focus on excellence through advanced technological integration.
Ultimately, whether in high-performance motorsport or building a market-leading mobility platform, success comes down to assembling the right team, maintaining operational agility and relentlessly pursuing innovation – principles that have guided both my racing career and our journey with DriveX.
Considering varying market dynamics, what is the biggest hurdle in customer acceptance of refurbished vehicles – trust, regulations or other factors?
The most significant challenge undoubtedly lies in establishing trust through refurbishment quality. Customers inherently face an information gap – while they can visibly assess components like tyres or batteries, critical mechanical work like oil changes remains essentially invisible to them. This transparency deficit fundamentally undermines confidence in refurbished vehicles.
At DriveX, we are addressing this precisely through technological solutions that provide customers with verifiable proof of refurbishment standards. Our approach creates much-needed visibility into the entire reconditioning process, bridging that trust gap systematically.
Regarding the regulatory environment, we have seen substantial improvements that facilitate smoother operations. The updated Motor Vehicle Act implemented on 23 April represents particularly progressive legislation. While we are currently in a transitional phase as states adapt these new provisions, the framework will ultimately enable platforms like ours to scale operations more efficiently across markets.
The combination of enhanced technological verification and regulatory modernisation creates a powerful foundation for growth in this sector. We are effectively tackling both sides of the equation – building consumer confidence through transparency while benefiting from more supportive policy frameworks that recognise the importance of organised refurbishment channels in the mobility ecosystem.
With your technology infrastructure, TVS backing and strong brand visibility, where do you see DriveX in five years?
Looking ahead to our five-year trajectory, we envision significant expansion across multiple dimensions of our business. A key strategic priority involves entering the electric vehicle refurbishment space, as re-powering and re-marketing used EVs will become an increasingly critical component of our platform’s offering. This evolution naturally aligns with the industry’s transition towards electrification.
Regarding our retail footprint, we are currently operating through 50+ retail touch-points across our markets. However, we have set ambitious growth targets to scale this network aggressively – our roadmap calls for establishing 500 retail locations by the third quarter of 2027. This expansion will be carefully calibrated to ensure we maintain our quality standards while achieving this rapid scaling.
The combination of diversifying into EV refurbishment and substantially expanding our physical presence represents a comprehensive growth strategy. It allows us to capitalise on both emerging technological trends in mobility and the growing consumer demand for accessible, high-quality pre-owned two-wheeler solutions across India’s diverse markets.
Given commerce minister Piyush Goyal’s deep-tech versus consumer startups debate, how should India balance both priorities according to your dual experience in startup and racing?
The past twelve months have witnessed artificial intelligence emerging as the dominant technological narrative across industries. While we are currently observing this phenomenon in its relatively nascent stages, there is no doubt that these solutions will undergo significant maturation and become substantially more streamlined in their application over time.
It is becoming increasingly apparent that AI integration will transition from being merely advantageous to fundamentally essential for any competitive digital platform. The technology offers comprehensive opportunities to enhance user experiences, improve product offerings and optimise operational efficiencies across the board. In our view, the most pragmatic approach lies not in attempting to develop proprietary solutions from scratch but rather in strategically implementing established best-in-class technologies through efficient plug-and-play methodologies.
This measured adoption strategy enables us to concentrate our innovation efforts where they create the most meaningful impact – ensuring that the advantages of these technological advancements are fully realised by our end users. By maintaining this focus on practical implementation rather than technological novelty for its own sake, we can deliver sophisticated solutions while preserving the simplicity and accessibility that remain central to our value proposition.
The key consideration is not whether to adopt these technologies – that has become inevitable – but rather how to implement them in ways that genuinely enhance rather than complicate the user experience.
Given your peak visibility during your racing career, do you believe starting this venture then rather than in 2023 would have put the company at a different level today?
Perhaps, yes.
That said, when you are competing professionally, it requires complete focus – it’s a full-time commitment. Managing investors or building a team simultaneously simply wasn’t practical. This is a business I founded from scratch, which demanded total dedication.
The reality is, maintaining that level of energy for both elite athletics and entrepreneurship is extremely challenging. Very few can successfully do both at the same time.
Badminton legend Pullela Gopichand recently cautioned that sports remain prohibitively expensive for ordinary athletes to sustain careers. What’s your view on making sports a viable livelihood in India?
To be clear, success in sports has never been straightforward. The current focus on various disciplines stems largely from increased media coverage – take motorsport as an example. The entire category has gained significant visibility through series like ‘Drive to Survive’. This exposure makes parents more willing to support their children’s participation across different sporting fields.
Some sports like cricket have well-established systems. The infrastructure from local clubs to state levels benefits from substantial funding and extensive media coverage. It’s understandable why most schoolchildren aspire to become cricketers when the entire framework supports that ambition.
However as Gopichand correctly observes, pursuing sports like golf presents different challenges. These require considerable resources – professional coaching, specialised equipment and numerous other necessities. Interestingly this applies even to chess.
The positive development is that previously overlooked sports are gaining recognition. While our sporting culture was once cricket-dominated, we’re now seeing broader visibility across disciplines.
Regarding motorsports specifically, establishing a professional career remains challenging. While I may be one of the few who achieved this historically, the landscape is maturing with various emerging leagues – though many prove short-lived.
The motocross league represents genuine progress – for the first time we have Indian riders earning proper livelihoods through competition. This marks a significant development in our motorsport ecosystem where athletes can finally build sustainable careers.
