What Happens When a Company That Sells Car Trips Gets Into the Bike Trip Business?

By Ben Fried : streetsblog – excerpt

Lyft has acquired the nation’s largest bike-share company, setting up a situation where its bike trip sales will cannibalize its car trip sales.

Lyft, Uber’s smaller but gigantic-in-its-own-right competitor in the ride-hailing business, has acquired Motivate, the company that runs several of the largest bike-share systems in America. The price isn’t public yet, but unconfirmed earlier reports pegged it at $250 million. The new entity is called “Lyft Bikes.”

Lyft gets Motivate’s “current engineering, technology, marketing, communications, legal and supply chain capabilities as well as some human resources and finance functions,” according to a spokesperson. Lyft says the terms of contracts with local governments, including agreements with New York, Chicago, San Francisco and other large cities granting varying degrees of exclusivity, will not be affected…

This is a matter of dispute, that may be cause for legal action.

The optimist sees huge potential in the nation’s largest bike-share operator getting an infusion of capital…

The acquisition by Lyft could change this dynamicMotivate has yet to show what it can do with the dockless and electric-assist bicycles it’s been developing

The announcement yesterday renews Motivate’s relevance, with Lyft explicitly mentioning “dockless and pedal-assist electric bikes” as the type of “innovation” it intends to expedite…

The pessimistic take on the deal is that Lyft’s core businessselling car trips in cities — will put a ceiling on what it will do as a bike-share company. ..

I doubt that Lyft will enthusiastically try to convert its car trips to bike trips without some sort of prompt from policy makers. Bike-share is a very low-margin business. … (more)

As the author points out, there are many directions the company may take, and, since the future of bike stations is uncertain there is no reason to expand the most controversial bike-share programs that infuriates the public.

As one of the North Beach patrons asked when the Central Subway was being presented as an extendable program, “How can you aim a tunnel when you don’t know where it is going to end up?” We need to stop installing bike stations and see what the market does.

This matter will be addressed Tuesday at the SFCTA Meeting. around 10 AM in Room 250 at City Hall.  You may want to comment on Item 9 on the agenda – Adopt the Emerging Mobility Evaluation Report – ACTION*  resolutionenclosure  Including TNCs, on-demand, shared, ride-hails, autonomous vehicles, robots and drones – all those vehicles that are cluttering up the road that used to be full of our private vehicles. How many millions or billions of taxpayers dollars have gone into this failed system that was going to rid the city of cars?

Keep your letters going to the Board of Supervisors on this matter. We need to keep public funds out of the hands of these corporations that have informed us that they intend to take over our streets. Supervisor Cohen needs to hear from you as she is still supporting the Ford GoBikes, that are now the Lyft bikes. We also need to send a message to Supervisor Kim on that matter. NO MORE TAXPAYER FUNDS FOR CORPORATIONS. If they want to help low-income people they can do so with their own money.

RELATED:
Uber Poised to Make Investment in Lime Scooter-Rental Business

STOP THE CORPORATE TAKEOVER OF OUR STREETS.
Buy an electric scooter for #129 at Best Buy or a Moped for less than $400.

Lyft’s Big Bike-Share Buy Is About Ruling the Streets

By Aarian Marshal : wired – excerpt

Today, Lyft announced it has acquired North America’s largest bike-share operator, Motivate, for a reported $250 million. The move comes just three months after archrival Uber took over Jump Bicycles, a smaller and flashier dockless electric bike-share company, for $200 million. And thus, the urban transportation wars click into a higher gear, as the fight moves to the bike lane…

In a blog post, Lyft said it would take over Motivate’s technology and corporate functions, including, critically, its city contracts...

On its face, the acquisition of Motivate—which will be rebranded Lyft Bikes—makes a ton of sense. Ride-hailing companies are nervous that vehicles like cycles and scooters will cut into their business by giving people cheaper, traffic-free options for making short trips through dense areas. So instead of fighting these new modalities, the ride-hailing giants bought them out…

That could be the sort of advantage Lyft needs to dominate transportation across the city landscape, no matter your mode of choice. If, that is, it can answer a few pesky questions.

Relationships

Motivate has decade-long agreements with some of America’s biggest cities, including Boston, Chicago, New York, the District of Columbia, and the San Francisco Bay Area. Some of those (including New York, the Bay Area, and Boston) are exclusive, meaning no one else is allowed to operate a bike-share in the area…

Lyft says its acquisition won’t affect Motivate’s existing contracts.

But is that true? Uber also took a close look at Motivate before Lyft cut the check, and a source familiar with those negotiations says Uber worried those contracts left room for cities to renegotiate or even cancel exclusivity if control of the company changed hands…

 A spokesperson for the Bay Area’s transportation authority did not respond to specific questions about its contract with Motivate. …

it’s not crazy to think Lyft could use this new real estate to build what urban transportation nerds have dreamed about for years: “mobility hubs,” where riders switch between a bike and a car and the public bus and the subway. Could a station be a place to charge electric bikes and scooters and maybe even cars?…

Keep your eyes on the corners—and, of course, the limits of Motivate’s contacts, which probably limit what Lyft can do with these spaces... (more)

NOW is the time to DEMAND A PUBLIC HEARING.

ENUF already! Demand they stop removing pubic parking now. This is Airbnb on the streets. Merchants and residents are already having problems with delivery services with the curb parking that we have left now. We cannot afford to loss more curb parking.

Who is on the public’s side? Ask your supervisor and those running for the office in November what they plan to do about the privatization of our streets and the private contracts being signed by the SFMTA. Some supervisors have already taken a stand on our side. Thank them and ask them how you can resolve parking problems using Ordinance #180089.

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