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Ford to invest $200 million in San Francisco eScooter firm

By Sheetal Sukhija, Oregon State News.Net
09 Nov 2018, 05:47 GMT+10

MICHIGAN, U.S. - America's second biggest automaker Ford Motor Co became one of the first companies to enter the micro-mobility movement, announcing the acquisition of the San Francisco-based electric scooter rental firm, Spin. 

In its announcement, Ford announced that it will invest $200 million in the San Francisco-area eScooter startup that was set up two years back.

Speaking about the acquisition of Spin, Marcy Klevorn, president of Ford's mobility unit, said the acquisition "fills a gap in our mobility portfolio," while providing "accessible and affordable transportation" in cities and on college campuses.

Further commenting on deal, Klevorn said that eScooters complement Ford's product portfolio, including the full-size F-series pickup that generates the lion's share of Ford's profit.

Klevorn added, "Our overall strategy is to provide customers with a choice, whether it's buy or lease (a vehicle) or pay by use. We're trying to adapt to where the market is going - and scooters complement that."

Sundeep Madra, head of the automaker's Ford X startup incubator added that Ford plans to expand Spin over the next 18 months, from 32 markets to more than 100 in North America. 

According to the company's announcement, Spin will be a wholly owned Ford subsidiary, operating out of San Francisco.

The electric scooter movement, which became a revolution in the Bay Area, has now continued expanding across big cities in the U.S.

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