The startup called Juno that sought to establish itself as a competitor to Uber is no longer doing business in New York.
The company had billed itself as a “kinder” and “gentler” way to get a ride – and as we all know, “kind” and “gentle” gets you precisely nowhere in downtown Manhattan.
The company is now inviting its users to join Lyft, Bloomberg reports. Juno is owned by Gett Inc., which is a Tel Aviv based ride-hailing company that spent $200 million to acquire Juno in 2017.
On Monday, Gett said that it was shutting down Juno and was instead starting a partnership with Lyft, which will allow Gett’s clients to get rides by Lyft through its app beginning next year.
The company said that more focus on its corporate clients and “misguided regulations” on ride-hailing companies in New York City were to blame for it shutting down. Gett’s CEO, Dave Waiser, said: “This development reinforces Gett’s strategy to build a profitable company focused on the corporate transportation sector, a market worth $1 trillion each year.”
The company was formerly thought to be a formidable competitor to Uber in the busy New York City market. It launched billing itself as a driver-friendly alternative to Uber and offered equity packages to its drivers, promising that they would be able to share in the wealth if the company made it big.
Payouts to drivers “did not materialize” after the company’s sale to Gett, which is now valued at $1.5 billion. The company has raised more than $800 million from investors and had mulled a sale of Juno – obviously unsuccessfully – last summer.
Tue, 11/19/2019 – 13:50
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Author: Tyler Durden