Spin, one of at least three companies hoping to launch a stationless bike share service on the streets of Seattle this summer, just landed $8 million in venture funding, according to a company press release.
This funding news highlights what is perhaps an overlooked aspect of Seattle’s private bike share story: There is an enormous amount of money behind this emerging business model. And many of these companies are hoping that Seattle will be the premiere city to showcase their services.
As Techcrunch reports, a handful of companies with similar business models have been building investment capital:
Spin’s competition includes several other funded startups here. Social Bicycles, the first to offer kiosk-free bike sharing in the U.S., has raised $7 million, and has already reached profitability. Another early bike-share player, Zagster, closed a $10 million Series B round that it announced in January. And earlier this spring, LimeBike closed a $12 million Series A round led by Andreessen Horowitz.
But these companies pale in comparison to the funding behind some international companies like China-based Bluegogo, which reportedly closed a $58 million investment deal in February (we took a Bluegogo for a test ride around downtown). Mobike and ofo, the two biggest stationless bike share companies based in China, measure their investments in the hundreds of millions. Seattle Bike Blog has not yet received word whether Mobike or ofo are interested in the Seattle market. Continue reading