Less than a year after launching, Ofo bikes and Reddy Go are both pulling out
Michael McGowanTue 10 Jul 2018 02.30 BST
The wheels are falling off Australia’s once burgeoning share bike economy, after two more companies announced they were pulling out of capital city markets.
China-owned Ofo bikes and the Australian company Reddy Go were both greeted as part of the shift towards bike sharing when they launched in Australia last year. Ofo is the largest bike-sharing company in the world, and has been labelled the “Uber for bikes”.
But less than a year after launching, both companies have announced they’re pulling out of Australia.
Ofo said this week that it had made a “strategic decision to focus on priority markets internationally” and would “wind down” its operations in Sydney and Adelaide over the next two months.
“As part of this process Ofo will begin to remove bikes from cities and consolidate them to our warehouses,” a spokesperson said.
“This decision does not come lightly, and Ofo Australia will act responsibly in each market as it winds down operations, resolving any outstanding concerns before finalising operations.”
Reddy Go, which was launched last year by University of Technology Sydney graduate Donald Tang, is also pulling out of Sydney.
On Tuesday the Australian reported that the company had sent messages to customers announcing that it was undergoing a “restructuring process” and offering two bikes for free.