Taxi giant Uber is buying an electric bicycle startup called JUMP Bikes, which is operating in Washington D.C. and San Francisco at the moment. They plan to make the service available worldwide.
The exact amount of the deal is unknown. According to insiders, it is over $ 100 million. JUMP Bikes offers a dockless, electric bike-sharing service. It costs $2 for every half an hour of use. The bikes look like beach cruisers equipped with an electric motor for pedal-free riding.
JUMP CEO Ryan Rzepecki and his team will become a subsidiary of Uber, with Rzepecki under the direct supervision of Uber CEO Dara Khosrowshahi.
Prior to the acquisition, Uber was already working with the bike startup through a partnership. Users booked a JUMP bike using Uber’s app. Now, Uber will be taking JUMP Bikes offerings to new markets.
JUMP CEO Rzepecki insists nothing has changed. According to him, they are still the same team that is just as passionate about cycling as always and are really excited to be partnering with cities to increase cycling. Joining the transport corporation will give them the opportunity to make their dreams come true faster and on a much bigger scale.
JUMP Bikes in turn offers Uber a chance to expand into the transport-sharing market without relying exclusively on taxis. In the words of JUMP’s CEO, the acquisition of his company is intended as an important part in Uber’s transition to a platform with multiple modalities. That really is important – Uber has never bought a ride-sharing company specializing in a form of transportation other than cars in the past.