Dockless bike sharing service JUMP gets acquired by Uber

Adjust Comment Print

Beleaguered ride-hailing company Uber announced today that it will acquire Jump (née Social Bicycles), the dockless bike-share outfit that sprouted up in San Francisco in January.

Khosrowshahi said in an interview that Jump was "a ideal fit" for Uber's expanding portfolio beyond its core ride-hailing service. Through our collaboration, we realized that we shared Uber's vision of multi-modal mobility and had the same goal of decreasing vehicle ownership.

The company now has 2,000 dockless, GPS-enabled bikes in 40 cities across six countries including Brighton in the United Kingdom, and unlike some services, its bikes offer electric pedalling assistance to make climbing hills and zipping around cities that little bit easier.

"LimeBike eliminates docking stations by providing a flexible system of bikes that can go anywhere", the company explains on its website.

Uber Technologies 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. Khosrowshahi said while it makes sense for Uber to own the bicycles in the early days, other companies may want to finance the bikes in the future when the market is more mature. The company operates and maintains a vast global presence, operating in over 633 cities. Rzepecki writes an interesting paragraph where he admits worry about working with Uber, a company known for a rapacious and unsavoury reputation. Presumably customers who do not secure the bikes properly will suffer a penalty sufficient to prevent such bad behavior.

The case relates to the use of unlicensed drivers for the UberPOP service, which has been suspended in France. The new deal between the rival companies would provide an essential opportunity to Grab for using their operational activities in the merger for handling ride-hailing and food delivery business activities of Uber.

More news: ICICI examines pending insolvency cases in Board meeting
More news: Russia's foreign minister to visit North Korea
More news: The reel life, Harry & Meghan: a Royal Romance; trailer released

The JUMP bicycles come with a built-in U lock that can be used to secure them when riders are done riding them.

Jump was founded in 2008 and is headquartered in New York City.

The idea is that the rider is supposed to leave the bike on the sidewalk without impeding pedestrians or attached to a public bike rack. With the sale, those users will likely need to switch over to the Uber app to access their dockless e-bikes.

Owning a fleet of electric bikes is just another way Uber intends to give its users options to move around cities. Its e-bikes cost $2 for the first 30 minutes and then seven cents a minute.

In addition to representing taxi drivers, the Teamsters have been organizing Uber and Lyft drivers for years; legislation passed three years ago would have allowed those drivers to unionize with the Teamsters-meaning the union would also represent Uber drivers and other kinds of contract for-hire drivers-but it's still tied up in court.