Lime E-Bike with Swappable Battery

Lime Launches Gen4 E-Bike with Swappable Batteries

After initial announcements in March of the previous year, Lime is now fulfilling its commitment to deploy its Gen4 e-bike across various cities. A key feature of this new model is its swappable battery, designed for compatibility with Lime’s newest generation of e-scooters.

Initial Rollout and Expansion Plans

The micromobility company began its rollout on Wednesday with 250 new bikes in Washington, D.C. According to Russell Murphy, senior director of corporate communications, the intention is to progressively replace the existing fleet of 2,500 e-bikes by April.

Lime intends to continue this launch process in cities worldwide, systematically replacing older models with the Gen4 bike over the course of the next year.

Investment in New Technology

This initiative represents a $50 million investment dedicated to the development of the new e-bike and its expansion into an additional 25 cities spanning North America, Europe, Australia, and New Zealand.

Previous Generation and Delays

The prior generation of Lime e-bikes is currently operational in 50 markets globally, including cities like London, Seattle, Paris, Denver, and Charleston, South Carolina.

Originally, the Gen4 e-bike was slated for launch in the summer of 2021, but faced delays – aside from limited pilot programs last autumn – due to challenges within the supply chain, as Murphy explained.

Key Features of the Gen4 E-Bike

The most significant upgrade in Lime’s new green-and-white bike is the swappable battery, aligning its appearance with the company’s latest Gen4 scooter.

“This represents a potential advancement for the entire industry,” Murphy stated to TechCrunch. “Utilizing a single battery type across different vehicle types allows for a more efficient and integrated multimodal fleet.”

Improved Unit Economics

Lime anticipates that the battery upgrade will contribute to improved financial performance.

By eliminating the need to bring vehicles in for charging, operational tasks will be reduced, which are typically a substantial cost for shared micromobility services. Furthermore, the ability to simply swap batteries will keep more vehicles in service for longer periods, enhancing reliability for riders and increasing revenue potential, Murphy noted.

“It will also consolidate charging responsibilities, enabling a single team to manage both bike and scooter charging,” he added.

Enhanced Rider Experience

The new e-bike also features an upgraded motor designed to facilitate easier hill climbing.

Additional improvements include a dedicated phone holder, a new handlebar display mirroring that of the Gen4 scooter, and an automatic two-speed transmission for a smoother start, eliminating the need for initial pedaling to engage the motor.

Strategic Fleet Refresh and Funding

Lime’s plans to expand its e-bike fleet align with the company’s broader objectives of modernizing a significant portion of its assets, entering new markets, and developing innovative technologies to secure additional city contracts.

In November, the company successfully closed a $523 million funding round comprised of convertible debt and term loan financing, potentially representing its final funding phase before a planned initial public offering this year.

Competitive Landscape

As Lime prepares for public markets, it is focused on strengthening its market position through operational efficiency and hardware improvements, exemplified by the introduction of the upgraded e-bike.

Meanwhile, competitor Spin, owned by Ford, announced plans last week to reduce its workforce by 25% as part of a restructuring effort to withdraw from certain open permit markets. Spin is currently scaling back operations in several U.S. markets, all markets in Germany and Portugal, and may cease operations in Spain as early as February.