E-scooter rental firm Spin to lay off a quarter of its staff
BusinessE-scooter rental firm Spin to lay off a quarter of its staff
Electric scooter rental firm Spin said on Friday it will lay off 25per cent of its employees, as part of the company's restructuring plan to exit open permit markets.
San Francisco-based Spin was bought by Ford Motor Co in 2018 and operates as a standalone business within Ford Smart Mobility.
"Spin will no longer compete in open permit markets that lack sensible regulations," Ben Bear, chief executive officer of Spin said in a statement.
Bear, who took the helm in June last year, added that free-for-all markets create an uncertain operating environment.
He said Spin is beginning to wind down operations in a few U.S. markets and all of their markets in Germany and Portugal, while 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," Bears said.
Spin operates dockless electric scooters on campuses and cities in North America and Europe, according to its website.
(Reporting by Kannaki Deka in Bengaluru; Editing by Shailesh Kuber)