E-scooter startup Lime shuts in 12 markets, lays off around 100 - Axios

Scooter company Lime is laying off about 14% of its workforce (roughly 100 employees) and shuttering operations in 12 markets as it seeks to become profitable this year, the company tells Axios.

Why it matters: After two years of explosive growth, scooter companies have entered a new phase—survival of the fittest in a capital-intensive, money-losing industry.

The big picture: Lime is not the first or only scooter company to make cuts.

What they're saying: "We’re very confident that in 2020, Lime will be the first next-generation mobility company to be profitable," Lime president Joe Kraus tells Axios.

In between the lines: Kraus also refuted rumors that Lime is actively raising a new round of funding despite months of ongoing rumors that the company was running out of cash and looking for a fresh infusion. (Meanwhile, rival Bird announced in October $275 million in new funds.)

Details: Lime is ending operations in 12 markets where it says business was underperforming.

Editor's note: The story has been updated to show that scooter longevity was previously six months (not weeks).

https://www.axios.com/e-scooter-startup-lime-shuts-in-12-markets-lays-off-around-100-d25d44e4-c0f1-4713-9a89-868f4da40e03.html