Uber bought a bicycle stock company. The company announced Monday that it will take over Jump, the New York-based e-bike startup that has been working with Uber on a pilot project for two months to integrate bike-sharing options into Uber's app. Apparently, this attempt went well because now Jump becomes a subsidiary of Uber, and the ride-hailing company will make a leap into a brand-new industry with a different set of challenges and pitfalls.
The size of the business was not How However TechCrunch reported last week that Jump weighed a $ 100 million bid from Uber or a new venture investment round. The competition was fierce, but Uber ultimately won. In a blog post, CEO Dara Khosrowshahi said the acquisition's mission will help "bring multiple modes of transport together within the Uber app," so you can choose the quickest or cheapest way to get where you go an Uber, on a bike, in the subway or more. "(Side-question: is Uber thinking about buying the MTA?)
The deal gives Uber access to Jump's 1
Khosrowshahi called Jump's CEO Ryan Rzepecki "an impressive entrepreneur who has spent nearly ten years in bike-sharing to bring to life all over the world. "Rzepecki, in turn, said he was initially suspicious of Uber's offerings in light of the numerous scandals that rocked the company over the past year."
When we started talking to Uber, they were going through an extremely difficult time With negative headlines every week and a massive change of leadership, we expected a toxic working environment and a broken culture, and instead, everyone we met was intelligent, passionate, and really wanted to make our team a success.We all worked together to realize that we were Ubers More importantly, we were able to see the relocation of the company after Dara was named CEO, when he started to lead with humility and in a way that we reflected our values, and it quickly became clear that JUMP, with its st Synergies and focus on mission could better achieve its goals if it were part of Uber.
Formerly known as Social Bicycles, Jump 2010 launched its bike-share business with the goal of building smart, powerful bikes that can be attached to any rack. Jump's bicycles have built-in U-bar locks that allow them to be attached to existing bike racks or to the "sidewalk furniture zone" where you can see things like light poles, benches, and power poles. Earlier this year, the company received exclusive approval from the San Francisco Municipal Transportation Authority (SFMTA) to start its service in Uber's backyard. Since dockless bikes are fairly new in the US, the SFMTA uses the next 18 months to evaluate the program to see if it works before it allows Jump to offer its services in the long run. Jump has distributed 250 neon red electric bikes in the city today.
Weeks after Jump's launch in San Francisco, Uber announced a pilot to integrate the startup company into its app. Uber users who were interested in taking two instead of four wheels could tap the Bike option in the app at the top left of the home screen. The app shows you available bikes nearby that can be reserved. Once they have reached their destination, the bicycles must be left behind on a public porter in the designated "Bicycle Zone" on the App Card.
Dockless bike sharing certainly has a moment. Unlike fixed-dock bike shares like Motovate's Ford GoBike in San Francisco, Citi Bike in New York City and Capital Bikeshare in Washington DC, stationless services like Jump, Mobike, Ofo, Spin and LimeBike can be picked up and dropped off anywhere, where there is space for bicycle parking. Some, like Jump, also offer pedal assist, powered by an electric motor that will surely help if you try to tackle the notorious hills of San Francisco. This business model is now being used by electric scooter services such as Bird in Los Angeles and San Francisco. New York City plans to launch a pilot this summer, with 12 companies (including Jump) at the start.
All these activities naturally led to the question whether the market is already oversaturated. Transit enthusiasts are excited about the excitement surrounding cycling, but these dockless services are already synonymous with clutter and clogged sidewalks. Photo essays of sprawling abandoned bikes in China, or bicycles hanging from trees or submerged in streams in Washington, DC or Dallas, are popular online Clickbait.
The question is: Will the acquisition of Uber pay more attention to this emerging industry? Will a Uber Own Bike Stock Company give legitimacy to an exponentially growing business or generate more skepticism? And most importantly, will your assessment of Uber suffer if you put your bike in a bush?
Local officials across the country are poised for a flood when bike-sharing start-ups with billions of dollars in venture-capital cash plan armed to cover most major cities in the coming months. Uber's acquisition of Jump will undoubtedly send the current hype cycle into the stratosphere.
Uber's interest in Jump is pretty obvious. Adding a bicycle option to the Uber app increases the possibility of integrating other transportation options, such as subways and buses, into the Ride-Hail service app. Last February, Khosrowshahi told a Wall Street audience, "I want to run the bus systems for a city."
Given the many travel options, there is certainly a demand from consumers these days for more aggregation. Navigation apps such as Transit, Citymapper and Google Maps now offer driving as well as transit and bicycle routes. People want to compare prices and make informed decisions, and there is a race among the companies that are the first to offer this multimodal service.