Inside Mahindra Last Mile Mobility’s Rs 500 Crore Modular Platform Strategy

About three years ago, during an annual leadership conference in the coastal state of Goa, two of Mahindra & Mahindra’s top executives met to discuss a problem that had remained stagnant for nearly eight decades: the design of the Indian three-wheeler. The industry’s standard silhouette had barely changed since the late 1940s, often prioritizing basic utility over the comfort or dignity of the person behind the wheel.

During that meeting, Pratap Bose, Mahindra’s Chief Design and Creative Officer, took a simple paper napkin and began to draw. "Pratap drew a shape on a napkin for me," recalls Suman Mishra, Managing Director and CEO of Mahindra Last Mile Mobility Limited (MLMML). "We were discussing what a three-wheeler of the future would look like, and he drew a shape similar to this. Standing there, he just made it on that napkin at the table." Mishra was so struck by the vision that she carried a photograph of that napkin sketch for months.

On February 12, that airplane-inspired sketch was rendered into a sheet of steel known as the Mahindra UDO. Launched at an introductory price of Rs 3,58,999, the UDO, according to the company's top leadership, represents the culmination of a multi-year, Rs 500-crore investment aimed at creating a new crispness in last-mile transportation in India.

The Rs 500 Crore Foundation
To bring the UDO to market, Mahindra built an entirely new foundation. The company invested more than Rs 500 crore to create a modular electric vehicle platform. While the UDO is the first to debut on this architecture, the platform is designed for versatility and intended to underpin a variety of future products.

This investment extended deep into Mahindra’s manufacturing infrastructure at its Zaheerabad plant. To support the UDO’s advanced specifications, the facility underwent a massive upgrade, including an all-new automated battery assembly line with significantly expanded capacity. The production floor now features robotized lines, a new weld shop, and an upgraded paint shop designed to handle the vehicle’s unique requirements. A new Trim, Chassis, and Final (TCF) line was also installed to manage the assembly of what Mahindra calls its "autoplane."

"We have invested appropriately in this product," Mishra told Autocar Professional on the sidelines of the vehicle's official launch in Hyderabad, noting that the battery facility alone represented a significant portion of the capital expenditure. This localized manufacturing approach was essential not just for scale but to deliver advanced features at a price point that remains attractive to retail customers.

Engineering the ‘Autoplane’

The final product bears a striking resemblance to Bose’s original napkin sketch, though the intervening years were filled with intensive engineering iterations. Bose describes the design philosophy as "Intellicore," which means a balance of hardcore engineering and intelligent form and function.

"You can’t get off the most beautiful advanced airports or get off a Vande Bharat... and get into a [vehicle] that was designed in the 1950s," Bose remarks. "It needs to be something for the times and for the future."

The company management boasts that the UDO’s design is a radical departure from the "tin can" builds of the past. It features a segment-first full monocoque construction, a unified body structure that provides significantly higher structural strength and a stiffer chassis. This engineering choice eliminates the creaks and twists common in traditional three-wheelers, providing what Mahindra claims is best-in-class ride quality and noise, vibration, and harshness (NVH) levels.

Visibility and safety were also primary drivers. The UDO boasts a windshield that is 200% larger than its competitors, offering the driver an unhindered view, a feature inspired by airplane cockpits. Inside, the driver sits in the pilot (driver) seat with 20% higher cushion density for long-haul comfort. For the first time in the segment, the vehicle includes features like reverse throttle and creep mode, which allow for seamless control in bumper-to-bumper traffic without constant braking.

Quick Turnaround

The journey from that napkin sketch to the factory floor was governed by the Mahindra Product Development System (MPDS). This structured framework involves multiple stage gates—rigorous checkpoints where senior management, including leaders like M&M’s Rajesh Jejurikar, review prototypes and mules (test beds) to ensure the product meets its objectives.

Perhaps another impressive feat of the UDO’s development, the company highlighted, is the speed of its turnaround. "We are able to turn around products from a sheet of paper to a sheet of steel in 30 months," Bose notes. This efficiency was achieved by utilizing 3D digital modeling early in the process, which reduced the need for physical iterations, and by collaborating with suppliers much earlier in the design phase.

Leading the Electric Charge

The launch of the UDO comes at an important junction for the Indian automotive sector. The three-wheeler category has become a frontrunner in India’s transition to green energy, with electric vehicle (EV) penetration already surpassing 35%. Mahindra, which already holds a dominant position with over 300,000 EVs on the road, views the UDO as the vehicle that will push the market toward a tipping point.

"My aspiration is that with these kinds of products... it can reach 50% electric penetration in the next two years," says Mishra.

As per Mishra, the UDO is strategically positioned to attract a new breed of customers: younger, tech-savvy first-time users who research their purchases on social media and value pride of ownership. By offering a real-world range of 200 kilometers, the highest in its segment, Mahindra is also targeting CNG users who previously suffered from range anxiety.

Mahindra Last Mile Mobility Limited (MLMML), a subsidiary of Mahindra & Mahindra Ltd., manufactures EVs like the Treo range, Zor Grand, and e-Alfa. MLMML boasts the widest portfolio of electric, petrol, CNG, and diesel last-mile mobility three- and four-wheeler passenger and cargo vehicles. Apart from EVs, the company also has the Alfa and Jeeto range of vehicles in its kitty.

Bajaj Auto and Piaggio are among other major players operating in the segment.

Way Forward

Mahindra is attempting to accelerate a market already at 35% electric penetration toward a 50% tipping point within two years. However, the success of this autoplane vision ultimately rests on whether the traditionally price-sensitive retail driver will embrace a premium shift in identity over raw, low-cost utility. Can a sketch on a napkin fundamentally change how a nation moves, or is the gap between an airplane-inspired dream and the gravity of the Indian road still too wide to bridge?