India’s quick commerce market is booming, with demand more than doubling for some players. But the fast-delivery push by Flipkart and Amazon is raising the stakes in an already crowded space where profitability remains under pressure.

Flipkart, one of India’s largest e-commerce players, entered quick commerce later than local rivals such as Blinkit, Swiggy, and Zepto. But it has now crossed more than 800 dark stores (distribution centers for online shopping) this week, TechCrunch has learned, and is looking to double that by the end of 2026, according to UBS.

The expansion comes as India’s quick commerce sector enters a more intense phase of competition. The strain is reflected in recent developments, including the departure of a co-founder at Swiggy this week, as companies reassess strategy amid rising competition and costs.

The Walmart-owned company debuted in quick commerce with Flipkart Minutes in August 2024, offering deliveries across categories in as little as 10 minutes. Since then, the sector has expanded rapidly. More than 6,000 dark stores are now in operation, leading to significant overlap among players in major cities and intensifying competition, Bernstein said in a report earlier this week.

Beyond major cities

Flipkart’s network in India remains smaller than that of market leader Blinkit, which has over 2,200 dark stores, according to Bernstein. However, Flipkart is betting on expanding beyond major cities to drive growth. This is unlike Blinkit, which plans to scale to 3,000 dark stores by 2027 while focusing on its top 10 cities.

“Flipkart has this Walmart DNA,” said Satish Meena, founder of Gurugram-based consumer insights firm Datum Intelligence. “Walmart’s DNA is always about expanding the total addressable opportunity to dominate by expanding the market.”

Flipkart is already seeing traction beyond major cities, with 25–30% of its quick commerce orders now coming from small towns, a source familiar with the matter told TechCrunch. Orders per dark store have also grown about 25% month-on-month, the person said.

However, growth in quick commerce remains concentrated in larger cities. Most demand, Bernstein said, continues to be driven by big cities, where higher population density supports faster deliveries and better utilization of dark stores, even as expansion into smaller towns gathers pace.

That dynamic also underpins profitability. The top eight cities in India account for over 3,800 dark stores operated by the five largest players, with about 3,600 of them having the potential to be profitable, according to Bernstein.

“Metro markets obviously are better in return ratios, better in profitability because of higher throughput,” said Karan Taurani, executive vice president at Elara Capital, a London-headquartered investment bank and brokerage firm. “This business is all about higher throughput, and for now, that is coming largely from metro markets.”

Still, some analysts see a longer-term opportunity beyond major cities. “Non-metros (small towns) can give a surge if companies expand beyond groceries and offer a wider range of items at faster speeds,” said Datum’s Satish Meena. “Flipkart is betting on that.”

Nevertheless, scaling beyond big cities will take time. Quick commerce is currently viable in about 125 cities, with dark stores typically taking six to 12 months to reach maturity and profitability, said Aditya Soman, a senior research analyst at CLSA, a Hong Kong-based brokerage. Many of the newer stores in smaller towns are still in the ramp-up phase, he added.

Amazon, which entered India’s quick commerce market in late 2024 shortly after Flipkart’s debut, is also ramping up its presence. The e-commerce giant has rolled out around 450–500 dark stores so far, with about 330–370 currently operational, according to UBS, as it looks to tap into growing demand for faster deliveries.

Pressure mounting on incumbents

Flipkart is not just relying on dark-store expansion to compete but also aggressive pricing. The company is offering some of the highest discounts in the segment — around 23–24% across categories, based on a sample basket analyzed by Jefferies last month — as it looks to attract users in a market where price and convenience remain key drivers of demand.

The pressure from such strategies seems to be working. Brokerage firm JM Financial recently warned that Swiggy’s quick commerce business is caught in a “growth-versus-profitability deadlock” and risks destroying shareholder value, adding that a takeover by a larger, better-capitalized player may be the best outcome for investors.

Shares of Eternal, which owns Blinkit, are down about 15% so far this year, while Swiggy has fallen over 29%, even as Zepto is preparing to go public on Indian stock exchanges later this year.

The entry and expansion of large players such as Flipkart and Amazon are reshaping the competitive landscape. “Quick commerce is no longer in a startup phase — it has become a big players’ game,” said Ankur Bisen, a senior partner at retail consultancy Technopak Advisors.

He added that the sector’s economics and limited differentiation could eventually drive consolidation, as companies compete for the same set of customers in a discount-heavy market.

Amazon, Flipkart, and Swiggy did not respond to requests for comment. Eternal declined to comment, while Zepto said it could not comment due to a silent period following its IPO filing.

Snap has announced a new partnership between its AR-glasses-focused subsidiary, Specs, and chipmaker Qualcomm, as the company revs up for the release of its wearable later this year.

The Snapchat creator has been teasing the release of the glasses — dubbed Spectacles, or merely Specs — for a long time and, earlier this year, it spun off a new company to specifically focus on the business venture. In February, the company abruptly parted ways with Scott Myers, its SVP of Specs, over a reported “blow-up” between himself and Snap CEO Evan Spiegel.

The newly announced partnership with Qualcomm shows signs of life for the project. Specs will be powered by Qualcomm’s Snapdragon XR platforms, which are its systems-on-a-chip designed to power augmented and virtual reality devices, a press release states.

The two companies will develop “on-device AI, cutting-edge graphics, and advanced multiuser digital experiences” as part of a multi-year strategic agreement, a press release claims.

“Our work with Qualcomm provides a strong foundation for the future of Specs, bringing developers and consumers advanced technology and performance that pushes the boundaries of what’s possible,” Spiegel said.

The saga of Specs has been a long one. Snap originally began developing the product over a decade ago. The last consumer-facing version of the glasses was released in 2019. Since 2024, the glasses have been a developer-only product — giving Snap the opportunity to work on seeding new kinds of programs that the company hopes will draw users to it upon launch.

Meta released its new Muse Spark AI model on Wednesday as part of a major overhaul of its AI efforts. It’s do-or-die time for Meta — the company cannot afford investing billions of dollars again into something that doesn’t pan out, like the metaverse. Well, maybe they literally can afford it, but it’d be pretty damaging, not to mention embarrassing.

Speaking of embarrassing: Imagine a bunch of your friends, family, and strangers you met once in college getting a notification that you use the Meta AI app. I have lived this humiliation, and I am here to warn you that it could happen to you, too.

Meta’s Muse Spark model might be new, but the Meta AI app is not. It came out last April, and at the time, I wrote an article about the app’s launch. As one does when reporting on an app, I downloaded the app. I used it.

At some point, Meta started sending people Instagram notifications about which of their friends were using the Meta AI app, presumably to encourage them to download it. It has been almost a year. I continue to get texts from my friends in which they alert me that Instagram told them I am on the Meta AI app. This is generally considered to be uncool behavior.

In its first month and a half in the App Store, only 6.5 million people had downloaded the app, market intelligence provider Appfigures told us at the time. That’s a lot of people, but not for a company that counts an estimated 42% of the entire world as daily users of at least one of its apps.

Perhaps that’s why in the early days of the Meta AI app, I stuck out on my friends’ Instagram notification feeds. (Yes, your friends will get a whole notification devoted to your use of the app, displayed as prominently as a new follower.)

Things are looking up for the Meta AI app, though. It is seeing a spike in downloads after releasing its revamped chatbot, now charting at No. 5 on the U.S. App Store, up from No. 57, per Appfigures. That’s also why I must warn you now about the horrors you may face if you use this app and Instagram tells your friends.

As much as I don’t want people to know I installed an app with an AI-generated “vibes” feed, this issue runs deeper. Meta’s apps are so interconnected that it’s hard to keep up with what data we’re sharing, where, and with whom. Why would I think that my Instagram mutuals would know I’m on the Meta AI app? (At least X didn’t tell people that I used Grok’s anime waifu — which was also for work.)

In order to access the Meta AI app, you have to log in with a Meta account — so, I joined using the same account I’ve had since I was a teenager, which connects to my Instagram and Facebook. Meta will continue to use whatever I do on Instagram, Facebook, and yes, now even the Meta AI app, to show me targeted ads. So, if I were to confide in Meta AI about an issue with my menstruation, Instagram might show me ads for period panties.

The Meta AI app never asked permission to notify people about my use of the app, nor has it asked if I want my AI chats to be used as advertising fodder. But it doesn’t have to, because I probably implicitly opted into it in some terms of service agreement that I never actually read. I mean, I also learned via Instagram that my brother was weirdly invested in Eurovision last year, since we can all see each other’s liked Reels. We all know too much about each other, and yet, Meta knows even more.

In a sense, I’m lucky that the only thing that people knew about my Meta AI usage was that I was on the app. Some users had unwittingly shared much more incriminating information about themselves: their AI chatlogs.

As a grizzled veteran of the Meta AI app, I can tell you that back in my day (over the summer), Meta experimented with a Discover feed on the app. Meta did not account for the fact that a lot of boomers use its app, and they are sometimes bad at using technology. Combine that with the fact that, since AI is not real, people will use chatbots to discuss things that they find too intimate or embarrassing to share with others. Then, you have a disaster on your hands.

Soon, people like a16z partner Justine Moore began to notice that the Meta AI discover feed was mostly filled with older users who didn’t realize that they were sharing their AI conversations with the world.

Sometimes, these shared conversations were benign: at the time, I encountered a man with a Southern accent who asked, “Hey, Meta, why do some farts stink more than other farts?” In other cases, we saw people share their personal home address, information about medical issues, and intimate concerns about their marriage.

To give Meta some credit, these users did have to manually press publish on these chats. But enough people seemed to accidentally share private information that, clearly, there was a design issue to address. (Meta has since removed this Discover feed.)

At least if using the Meta AI app turns out to be a hot new trend, I will get to rub it in my friends’ faces that I was there first. But I would not bet on that future. There is still that “Vibes” feed, after all.