Uber shifts global focus to e-bike and e-scooter

By: Arnauld Hackmann

San Fransisco (US) – Dara Khosrowshahi, CEO Uber, announced to change the scope from taxis to e-bikes and e-scooters. Of course this is a big investment, but on the long run the CEO foresees an increased proximity with its users.

Several American media report about these new developments, and this news did not come completely unexpected. In April, Uber brought out the news that they did acquire the share-bike company JUMP. Uber’s American management is following the latest developments of the bicycle industry with great interest. 

Growing globally

By focusing on e-bikes and e-scooters Uber diversifies her activities and spreads its risks. With this new strategy, Khosrowshahi hopes to eventually grow Uber’s world-wide activities. Apart from the Jump take over, for approximately $ 200 million, Uber has invested in the e-scooter company Lime. Moreover, Uber has launched a completely new mobility-app. This app promotes rides with alternative transportation modes that work more efficiently in crowded inner-cities and keep their users on their platform for a longer time.

Spreading to Europe

In the Financial Times, Khosrowshahi stated that “During rush hour, it is very inefficient for a one-ton hulk of metal to take one person 10 blocks.” By means of diversification he wants to reshape user-behavior. By doing that he realizes that not one vehicle is able to satisfy all needs in the mobility-market.

Naturally, Uber’s cycling policy will not be limited to the United Sates. Rumor has it that Berlin will be the first European city to kick-off with Jump. After Berlin proves to be successful, more European cities should follow.

Short term losses

Although Uber had a loss of $ 4, 5 Billion, it does not seem to prevent the company from keep investing in electrified bicycles. According to Khosrowshahi investors need to be aware that in order to make long term profit, a short term loss is inevitable.