Cars24, a prominent used car platform, is undergoing a rapid and aggressive transformation, positioning itself as an AI-first company. This strategic pivot involves deep integration of artificial intelligence into nearly every aspect of its operations, from vehicle inspections to customer interactions and engineering workflows.
Massive AI Adoption and Investment
During the April-June 2026 quarter (Q1 FY27), Cars24 processed an astounding 1.1 trillion AI tokens, marking a nearly threefold increase in AI consumption over just two quarters. This surge in AI activity is reflected in its spending, with AI token costs now accounting for 8.88% of the company's annual corporate employee salary bill, up from 2.17% two quarters prior. This significant investment underscores the company's commitment to replacing manual processes with AI-led systems.
AI Powers Core Automotive Workflows
Artificial intelligence has become central to Cars24's core automotive processes. Approximately 80% of all vehicle inspections, totaling 2.88 lakh inspections in the recent quarter, were conducted using AI-led systems. This is a dramatic increase from 25% in the previous quarter and 10% two quarters earlier. The AI-powered inspection platform, built on over 20 proprietary computer vision models, has reduced average inspection time from 45 minutes to just 26 minutes, saving an estimated 91,000 inspector-hours.
Furthermore, AI-led loan disbursals have reached 65%, or 4,158 disbursals, more than doubling from 30% in the prior quarter. The company's Document AI processed 8.5 lakh documents, a 143% quarter-on-quarter increase, and its Agentic AI platform executed 5.71 million automated workflows, growing by 314%.
Enhanced Customer Engagement and Engineering Productivity
On the customer front, Cars24's AI platforms analyzed 9.81 million customer conversations. AI voicebots handled 2.58 million connected conversation minutes, a 30.3% increase, while AI chatbots processed over 550,000 customer requests, a 128% growth. Conversational AI now manages nearly 20% of all customer interactions across buying, selling, and financing journeys, with AI voice agents achieving comparable conversion performance to human teams.
Within engineering, AI has also driven significant productivity gains. Reportedly, 89% of production code is now AI-assisted, and 99.4% of code reviews are AI-enabled, leading to a threefold increase in average engineer productivity and faster product development.
Organizational Restructuring: The 'Flatland' Philosophy
Accompanying its AI push, Cars24 has implemented a significant organizational overhaul called 'Flatland.' This new operating philosophy eliminates traditional corporate levels, grades, and job titles, with every employee now sharing a single identity: "Builder." This move reflects a shift towards flatter teams and AI-enabled work environments, with 95% of employees using AI weekly and 85% daily, including non-technical teams.
The Future is AI-Driven
“AI is no longer improving isolated workflows; it is becoming the operating system of Cars24. Processing over one trillion AI tokens in a single quarter reflects the scale at which intelligence now powers every part of our business. From customer conversations and vehicle inspections to engineering and operations, we are building one AI that understands context, learns continuously, and simplifies every stage of vehicle ownership,” said Vikram Chopra, Founder & CEO, Cars24.
Cars24's proprietary AI infrastructure now comprises six in-house platforms supporting over 25 production AI use cases, demonstrating a comprehensive commitment to leveraging artificial intelligence to redefine the used car buying and selling experience.