Lime just closed a very successful investing round that will bring it much closer to ride-hailing giant Uber.
The e-scooter company raised $335 million from GV (formerly Google Ventures), Uber, Alphabet, IVP, Atomico and Fidelity. The company is now valued at $1 billion. In a blog post, co-founders Toby Sun and Brad Bao said the successful funding round means Joe Kraus of GV will join the company’s board and that they would begin working with Uber to co-brand the scooters and make them available through Uber’s app.
For Uber, the investment is “another step towards our vision of becoming a one-stop shop for all your transportation needs,” according to vice president and head of new modalities Rachel Holt. Uber also acquired the bike share company Jump Bike in April. For Lime, the investment may be just the leg up it needs against its competitors to expand to new cities and triumph in the permit wars.
For its part, Uber is also engaged in a race to be the most ubiquitous provider of city transportation. Ride share competitor Lyft has also entered the bike and scooter share market by acquiring the largest bike rental operator in North America.
Bike, scooter, and rideshare companies present a utopian vision of a car-less future, but their tactics have caused headaches for cities like San Francisco, where sidewalk clutter, abandoned scooters, and illegal behavior like riding on the sidewalk or without a helmet has pitted local residents against each other.