The AI startup taking on the food delivery giants

Bites founder Bala Subramaniam and co-founder Matt Maloney, who previously helped build Grubhub, are betting on a model that cuts out the middleman. By integrating directly with point-of-sale systems, the startup allows users to order food via ChatGPT with a flat $1 surcharge, contrasting sharply with the 15 to 30 percent commission fees charged by DoorDash. For restaurant owners like Jay Jayaraman, who operates 13 locations, the shift is already yielding higher margins. Jayaraman reports that after moving a significant portion of his business to Bites, his profitability has improved because he finally retains access to customer data—information typically sequestered by major delivery platforms.

This tension highlights the "DoorDash problem": the risk that large language models will render discovery platforms obsolete. As AI agents begin to handle routine tasks, the need for centralized apps that monetize through ads and boosted listings diminishes. DoorDash, which generated $1 billion in ad revenue in 2024, is clearly sensitive to this disruption. While the company claims its warning emails were sent to protect businesses from unauthorized listings, restaurant owners view the move as a sign of panic. For now, the delivery titan remains a necessary utility for many, but the arrival of leaner, agent-native competitors suggests that the era of app-dominated dining is facing a fundamental challenge.