India, May 9 -- Fintech giant Paytm is planning to venture into the ride hailing space by offering auto rickshaw booking services through the open network for digital commerce (ONDC), a move that will challenge the market dominance of Ola and Uber.

The company is looking to offer these rides in Tier I cities such as Delhi, Bengaluru and Chennai, Moneycontrol reported.

Paytm is currently testing the ride-hailing feature on its app with select users and might also offer cab booking services at a later stage, the report added.

In the past two years, Paytm has piloted and rolled out several e-commerce offerings on ONDC, such as food delivery, grocery, fashion and electronics.

Auto-rickshaws booked on the Paytm app are facilitated by ONDC-...