Revel, the electric mobility startup, has announced that it will be discontinuing its shared moped business in New York City and San Francisco. In an email sent to all employees, CEO and co-founder Frank Reig revealed that the company will now focus exclusively on its electric ride-hail and EV charging businesses. This news marks the end of an era for Revel, which started with just 68 electric mopeds in 2018 and eventually grew to have over 3,000 e-mopeds in multiple cities.
Key Takeaway
Revel, the electric mobility startup, is shutting down its shared moped business in New York City and San Francisco. The company will now focus on its EV charging and electric ride-hail services. This decision comes as the demand for moped sharing declined, making it unsustainable for Revel to continue the service. Approximately 67 employees will be laid off as a result, but they will receive severance benefits. The transition to EV charging reflects Revel’s commitment to the evolving needs of urban transportation.
Transitioning to EV Charging
As part of its new direction, Revel has recently launched its third “Superhub” in Queens, following the earlier unveiling of a second one in Brooklyn. These Superhubs serve as charging stations for electric vehicles and are a crucial component of Revel’s EV charging business. Additionally, the company plans to construct a charging station in the Bay Area in the near future.
Shutting Down Mopeds
While Revel’s moped sharing service had once been a central part of its operations, the demand for this service has significantly declined. According to a company spokesperson, ridership in both San Francisco and New York has decreased by approximately 30% compared to peak summer rides. As a result, Revel made the difficult decision to discontinue its moped-sharing service, ceasing operations in Washington, D.C. and Miami last year. Currently, the company has 3,000 active mopeds remaining in the San Francisco and New York markets.
Impacted Employees and Severance Benefits
The discontinuation of the moped business will unfortunately result in layoffs for about 67 staff members who were involved in moped operations. However, Revel has stated that these employees will be eligible for severance benefits, and the company is committed to supporting them during this transition. An all-hands meeting will be held to address any questions or concerns raised by the affected employees.
