San Francisco, California-based Spin, a dockless e-scooter micro-mobility company operating as a unit of Ford Mobility, has announced a restructuring initiative and exiting "open-permit" markets. Specifically, the company is winding down its operations in a few markets in the United States, as well as in the entirety of Germany, Portugal, and Spain.
The restructuring will impact approximately 25% of Spin's staff.
A message from Spin CEO, Ben Bear, noted " Today we shared the difficult news with Spin employees that we are beginning to exit nearly all open permit markets globally to accelerate our path to profitability. This decision to restructure impacts roughly a quarter of our staff.
What is changing is that Spin will no longer compete in open permit markets that lack sensible regulations. As a result, we are beginning to wind down operations in a few U.S. markets, all of our markets in Germany and Portugal. We are also projecting closure of Spain as early as February 2022. These places have permit market dynamics that make it difficult to identify a clear path to profitability. We found that these free-for-all markets create an uncertain operating environment—marked by frequent changes in competitive landscape, no caps on fleet sizes, and race to the bottom pricing. Most importantly, we aren’t able to offer the type of reliable high-quality service we pride ourselves on to our riders and city partners."
Funny, how most large companies seek regulated markets to protect their interests from competitors.
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?