DoorDash warns restaurants about AI-native delivery platform Bites

DoorDash, which processed 970 million orders and generated $4.5 billion in revenue in its second quarter of 2026, sent emails to restaurants in August warning that some may have been listed on Bites without their consent. The letters, viewed by The Verge, stated that DoorDash had heard from "several partners" added to the platform without their knowledge and cautioned that such practices could be illegal depending on the state.

Bites, a 10-person startup operating as a pre-seed venture with around 300 Bay Area restaurants, positions itself as an "AI-native" alternative to traditional delivery platforms. Diners can place orders directly through ChatGPT, which routes requests to restaurants without intermediaries like DoorDash.

Bites charges a flat $1 surcharge per order, which diners typically pay, though some restaurants cover it. The startup claims this model allows partners to keep item prices lower than on platforms charging 15–30% commission per delivery order.

Bites founder and CEO Bala Subramaniam said the company was contacted by 14 restaurant partners who received DoorDash’s warning, some of whom subsequently joined Bites after learning about it. Others received emails despite not being listed on the platform; a few requested removal after being listed due to old demos.

Restaurant owner Jay Jayaraman, who has 13 locations on Bites, estimated that 65% of his orders now come through Bites, down from 80% on DoorDash, with higher margins on Bites orders. He described the shift away from DoorDash as beneficial to his bottom line.

The conflict reflects a broader industry tension: as AI agents mediate interactions, traditional platforms risk losing control over customer relationships, advertising, and monetization. DoorDash’s ads business alone reached $1 billion in 2024, relying on boosted listings and consumer visits to its platform.

This dynamic mirrors legal disputes such as Amazon’s 2025 lawsuit against Perplexity to block its AI agents from browsing and shopping on Amazon’s site, as well as Amazon’s recent blocking of Meta’s Muse AI agent from shopping on its platform.