OLX Autos Windsdown partially, Laysoff 800 Employees Globally

After Ola shut its used car business under its newly formed 'Ola Cars', it is now the turn of OLX Autos who is on the shutting down spree after slumped sales figures.

With the pandemic lockdown escalated the chip shortages, there was a huge demand on the used car market since new(er) cars became scarce due to demand-supply gap. The resuming of production of new cars now gathered to a near full-steam, had a larger effect on these inventories that had usurped huge number of these from the sellers with a greed to make a killing profits.

However, with newer cars now normalising on the delivery timelines, these mushroomed online shopping sites are now fast becoming a money-draining pain-point for its owners. 

OLX said, “Earlier this year, we made the strategic decision to exit the OLX Autos business and potential buyers or investors have been explored since then.”

As per a statement given to TechCrunch, it added,

“As a result of this process, it became clear that pursuing individual country sales was the best option, given the significant value that exists within local markets. This includes Chile, the financing business in Latin America, and both the Olx classifieds platforms and the Autos transaction businesses in India, Indonesia and Turkey.”

Although OLX Autos continue selling vehicles in these markets, the company has stopped accepting new transactions in Argentina. For other regions, the protocols are still unclear, as Indian OLX Autos website is still seemingly running fine.