Lime E-Bike Launch: Expansion to 25 Cities with $50M Investment

Lime Invests $50 Million in Bike-Share Expansion and New E-Bike Technology

Lime announced on Monday a $50 million allocation dedicated to its bike-share services. This investment has facilitated the development of a next-generation e-bike and will support the company’s expansion into 25 additional cities across North America, Europe, Australia, and New Zealand this year.

Global Expansion Goals

Should Lime successfully meet its objectives, the company anticipates its bike-share service will be functioning in a total of 50 cities worldwide by the close of 2021.

Introducing the 6.0 E-Bike

The newest e-bike iteration, internally designated as 6.0, features a battery that can be easily swapped. This battery is compatible with Lime’s latest scooter models.

Further enhancements to the e-bike include a more powerful motor, an integrated phone holder, a redesigned handlebar display, an electric locking mechanism – replacing the previous cable lock – and an automatic two-speed transmission. Widespread availability of these new bikes is projected for this summer.

Building on Previous Development

This hardware upgrade is an evolution of the 5.8 bike, originally developed by Jump. Deployment of the 5.8 was planned for 2020, but did not occur on a large scale. This was due to Uber, Jump’s then-owner, transferring the unit to Lime as part of a $170 million investment deal finalized in May.

“Jump produced excellent hardware,” stated Lime President Joe Kraus in a recent discussion. “We then implemented additional improvements to create the new bike.”

Funding Through Profitability

The expansion and hardware upgrades were financed using the company’s existing operational funds, rather than seeking new investment from external sources. This was made possible by Lime achieving its first fully profitable quarter in 2020, according to company reports.

“We’ve established a pathway to profitability and are self-funding this initiative,” Kraus confirmed.

Key Upgrades and Operational Efficiency

Beyond adding a new motor, Lime repositioned it to improve handling at lower speeds and provide sufficient power for ascending hills, Kraus explained. The swappable battery is considered a particularly significant upgrade, directly contributing to the company’s profitability.

“Our operations teams can efficiently manage both the bike and scooter fleets while roaming the city, enabling us to maintain profitability and offer competitive pricing,” he added.

Expanding the Micromobility Platform with Mopeds

Lime’s investment in its e-bike operation follows a recent announcement regarding the addition of electric mopeds to its micromobility platform. The company aims to provide a comprehensive range of inner-city transportation options, from short trips to destinations like corner stores to longer journeys of up to five miles.

Lime is initiating this expansion by deploying 600 electric mopeds in Washington, D.C. this spring. The company is also collaborating with city officials to pilot the mopeds in Paris, with plans to introduce them to a “handful of cities” in the coming months.

The Benefits of Multimodality

“Our focus on servicing a wider range of trips, including those up to five miles within a city, is the driving force behind our continued exploration of multimodality,” Kraus said. “Introducing new modes of transport, such as bikes in cities with scooters, or scooters in cities with bikes, consistently leads to increased usage across both modalities.”