Ola spun off its electric vehicles business into a separate unit called Ola Electric Mobility with US$56 million of funding capital in February 2019. The funding was provided by Tiger Global and Matrix India.^[19] Apart from electric vehicles, Ola Electric also works on charging solutions, EV batteries and developing viable infrastructure to allow commercial EVs to operate at scale.^[20] The company announced on 6 May 2019 that Ratan Tata had invested an undisclosed amount in Ola Electric as part of its Series A round of funding.^[21][22]

Ola Electric raised $250 million from SoftBank during Series B round funding in July 2019, earning a valuation of over $1 billion.^[23]

Anand Shah, co-founder, Ola Electric and senior VP, Ola Cabs said that Ola Electric will need more capital to achieve its target of putting 1 million EVs on the roads by 2021.^[24]

Ola Electric acquired Amsterdam-based EV startup Etergo on 27 May 2020^[25] to launch an own line of electric scooters in 2020.

Ola Electric CEO Bhavish Aggarwal announced in March 2021 that the company was building a 500 acre, fully-automated factory in Pochampalli, a town in the Krishnagiri district of Tamil Nadu, to manufacture electric two wheelers.^[26] The company claims it will be the largest two wheeler factory in the world with an annual production capacity of 10 million units.^[27] The factory named the Ola FutureFactory produced its first electric two-wheeler on 15 August 2021. The factory will produce two models - S1 and S1 Pro - and is scheduled to begin delivering vehicles to customers who placed pre-orders by October 2021.^[28]