Shared electric scooter is not losing heat, Tier Mobility received $60 million in financing
Tier Mobility, a Berlin-based startup, received $60 million in financing to further expand its electric scooter sharing service. This shows that investors are still optimistic regardless of how cities regulate this new mode of transportation.
Proponents praise electric scooters and their likes as the key to helping cities reduce their dependence on cars and reduce emissions. At the same time, the proliferation of scooters on streets and sidewalks around the world has triggered strong dissatisfaction among local residents about security issues.
But it doesn't seem to slow down their popularity among users. Tier claims that there have been 10 million rides since it was launched less than a year ago. The company currently operates in more than 40 cities and plans to expand rapidly, thanks to a new round of investment from Mubadala Capital and Goodwater Capital.
Tier Mobility CEO and co-founder Lawrence Leuschner said in a statement about new investors, "With their extensive experience in investing in consumer technology entrepreneurs around the world, they will help us accelerate our expansion plans and make the world more Multi-users bring the mobile revolution."
According to CB Insights, micro-trips (bicycles and scooters) have raised $5.7 billion over the past four years. Among them, the US Lime financing was 765 million US dollars, and the Bird financing was 548 million US dollars, ranking first. Tier had previously received $29 million in financing.
The biggest question for micro-travel services is whether the industry can develop into a sustainable business, and the price competition allows these companies to subsidize users' travel.
Tier Mobility said it will continue to develop electric scooters to make them more durable while reducing costs and is expected to move toward a more sustainable model. However, with the rapid expansion of Lime in Europe and the financing of more than a dozen scooters, Tier faces a challenging outlook and may require more and larger capital injections in the coming months. .