1. UberPeople.NET - Independent community of rideshare drivers. It's FREE to be a person and enjoy all the benefits of membership. JOIN US! CLICK HERE

Uber Agrees to Buy Electric Bicycle Rental Company Jump Bikes

Discussion in 'News' started by Ant-Man, Apr 9, 2018.

  1. Ant-Man


    Los Angeles

    • Uber is said to have paid more than $100 million for Jump
    • Jump operates electric bike rental service in San Francisco
    Source: Jump Bikes
    Uber Technologies Inc. is leaping into the bike-rental industry with the purchase of Jump Bikes, as Chief Executive Officer Dara Khosrowshahi seeks out new growth areas with his first acquisition.

    The ride-hailing giant agreed to pay more than $100 million in cash and stock to buy the electric-bicycle provider, a person familiar with the matter said, asking not to be identified because the figure isn’t public. Technology news site TechCrunch first reported acquisition talks. Uber declined to disclose the terms of the deal, which the companies unveiled in a joint statement Monday.

    With the acquisition of Jump, Uber will now be in the business of owning and operating fleets of electric bikes. Dockless conveyances — electric scooters, traditional bicycles, electric bikes and mopeds — are becoming more prominent in San Francisco and other U.S. cities. In China, the bike-sharing industry drew thousands of bicycles to cities, flooding sidewalks, raising questions about whether restrictions might be needed.

    Jump sees itself as a more government-friendly option. The company already has approval to operate in San Francisco. Jump and Uber struck a partnership that integrated Jump’s $2-a-ride service into Uber’s mobile application earlier this year.

    “It’s an interesting evolution of our business model,” Khosrowshahi said in a phone interview. Jump, which started operating as Social Bicycles Inc., got its start selling bicycles to cities, including Portland and Phoenix. This year, it began renting a fleet of 250 electric bikes directly to consumers in San Francisco.

    Ryan Rzepecki, Jump’s CEO, will report directly to Khosrowshahi and continue to run the bike company. It plans to retain the Jump brand. “Our average trip length in San Francisco is 2.6 miles,” Rzepecki said. “This is more than first and last mile. This is the entire trip — the ability to have a new very fast point to point transportation option.”

    Khosrowshahi said that Uber plans to integrate independent bike companies into Uber’s app as well. “In the end we will want as many bikes as possible for the urban consumer,” Khosrowshahi said.

    Khosrowshahi didn’t address what the acquisition would mean for Uber’s multibillion-dollar losses. “We’ll invest as much as we need to. We’re not really thinking about this in the context of a path to profitability or an IPO. We have to solve for consumers first,” he said.
  2. LVN8V_BC43


    More garbage to enforce the Agenda 21/Agenda 2030
    tohunt4me likes this.
  3. Global Socialist serfs of the Elite.

    100 million for a used bike company.

    " Flying Bikes" !

    " Uber, Phone Home "!

    Globalist Implementation Tool

    Dead Battery heavy electric bikes which wont work properly all over the city.

    For $100 Million
    I would give Uber 500 Electric Bikes !


    How much will Uber pay drivers to stop snd plug tbem in ?
    Put air in the tires ?
  4. Just as well, really.
    Ant-Man and JimKE like this.
  5. TwoFiddyMile


    They only purchased this company to shelve them.
    "Competition? Poppycock. Buy it and dash it on the rocks".
    uberdriverfornow likes this.
  6. uberdriverfornow


    Exactly. $100 million for basically nothing. Just throwing money down the tube thinking they are getting rid of a competitor.
    TwoFiddyMile likes this.
  7. jester121


    It's awesome watching this Uber turd circle the drain....

    On what planet is losing billions per year a good indicator that it's time to play in the acquisitions market? Clearly they can't run the business they have now, so boy howdy, let's go out and buy some more companies to screw up!
    Duber12, TwoFiddyMile and ABC123DEF like this.
  8. uberdriverfornow


    How long do they think it'll take to make back the $100 million that they just blew on this company ?
  9. Fuzzyelvis


    "Kosrowshahi didn’t address what the acquisition would mean for Uber’s multibillion-dollar losses. “We’ll invest as much as we need to. We’re not really thinking about this in the context of a path to profitability or an IPO. We have to solve for consumers first,” he said."

    This is what investors should be looking at. Why they're not all terrified is beyond me.
    Duber12 and uberdriverfornow like this.
  10. mikes424


    Now I get it, tomorrow's announcement. Kosrowshahi will have all drivers rent the bikes. That way he will claim the drivers will save money by not having to buy gas.
    Ant-Man likes this.
  11. uberdriverfornow


    Anything to not make a profit.
    TwoFiddyMile likes this.
  12. Ant-Man


    Los Angeles
    I'm wondering if this is at all related to the Bird clipping Uber's wings on all those minimum fare rides (UCLA, Venice, SMC in my market).

    For further context, the Bird's CEO is Travis VanderZanden, former COO of Lyft who defected to Uber to become Global VP of driver growth. The move to Uber came with a lawsuit from Lyft alleging that he broke confidentiality and stole company secrets (the suit was settled out of court). The Bird's business model may sound familiar: they enter a city and setup shop without ever getting the proper permits, abiding by safety regulations, or even consulting with anyone at city hall because no one has done it before.

    The Bird has since begun requiring riders to have a valid drivers license and wear helmets after being kicked out and fined by SMC, as well as dropping the max speed on their scooters from 22 mph to 15 mph iirc.
  13. A hundred million dollars for half a million dollars or so in scooters?
    uber-xxx and TwoFiddyMile like this.
  14. Ant-Man


    Los Angeles
  15. Has anyone heard how many million the settlement of that woman that got killed got?

Share This Page