Weekly Round-Up: Whizz Closes $12M Series A Round for E-Bike Subscription Service

Revel announces a shift to independent contractors, a new rideshare service boasts armed drivers, and Whizz secures $12 million in funding for expansion.

For the latest news in the ridesharing industry, we break it down for you.

Whizz Closes $12M Series A Round to Expand E-Bike Subscription Service 💰🚲

Whizz Closes $12M Series A Round to Expand E-Bike Subscription Service
Whizz Closes $12M Series A Round to Expand E-Bike Subscription Service.

SOURCE – TECHCRUNCH

Whizz, an e-bike subscription startup, recently secured $12 million in a Series A funding round to build more e-bikes and expand beyond New York City to other major cities. The $12 million round includes $5 million in equity led by Leta Capital and $7 million in debt from Flashpoint VC.

  • Expansion plans for Whizz include rolling out services in cities, like Boston, Chicago, Miami, Philadelphia, and Washington, D.C.
  • Due to a series of battery fires, NYC is planning stricter enforcement on e-bikes, including potential safety inspections. This could present an ideal opportunity for Whizz to establish itself as a key player in the market, as they directly service their e-bikes.
  • Whizz aims to manage 40,000 e-bikes in the NYC area over the next three years, up from the current 2,500 bikes deployed across NYC and Jersey City, and eventually launch nationwide.
  • Whizz’s proprietary enterprise resource management (ERM) system helps cut costs by 35% and achieves an 85% fleet utilization rate, providing detailed analytics and remote control of bikes to enhance security and efficiency.

Want to learn more about Whizz? Harry interviewed Mike Peregudov, the co-founder and CEO of Whizz, on a recent episode of The Rideshare Guy Podcast. Check it out here!

Rideshare Company Revel Lays Off W2 Drivers, Will Shift To Independent Contractors 🚗🔄

Rideshare Company Revel Lays Off W2 Drivers, Will Shift To Independent Contractors
Rideshare Company Revel Lays Off W2 Drivers, Will Shift To Independent Contractors.

SOURCE – BLOOMBERG VIA MSN

Revel, the New York-based electric vehicle ride-hailing startup, plans to lay off its driver employees and transition to a gig-work model, similar to Uber and Lyft. This change will take effect in September, with Revel allowing affected drivers to stay on as independent contractors.

  • Revel said the change “came in response to an overwhelming majority of drivers asking for more flexibility, which is standard in the industry.” The company piloted the new contractor model in February.
  • Revel will still let independent contractors rent from its fleet of 550 Tesla vehicles, at the cost of $10 per hour. It will also continue to offer insurance, vehicle maintenance, and battery charging for rented vehicles.
  • In 2025, Revel will expand its platform to allow any licensed rideshare driver with an EV to drive for the service.
  • The company is building over 500 EV charging stalls in New York and San Francisco, with plans to expand to California in the future.

New Rideshare Service Boasts Armed Drivers, But Faces Licensing Issues 🚖🛡

New Rideshare Service Boasts Armed Drivers, But Faces Licensing Issues
New Rideshare Service Boasts Armed Drivers, But Faces Licensing Issues.

SOURCE – AXIOS

Black Wolf, a newly expanded rideshare service, offers rides with armed drivers who have backgrounds in police, military, and private security to enhance passenger safety. Unlike Uber, which may deactivate your account if you carry a gun, Black Wolf not only permits it but actively encourages it to enhance safety. However, the company faced licensing issues in Georgia.

  • Riders can choose between armed or unarmed drivers. These drivers must have a minimum of 4 years of experience in the military, or over 5 years in law enforcement or security. There is also in-cabin dashcam monitoring of each ride.
  • Originally launched in Atlanta in 2023, the service has since expanded to Miami and Fort Lauderdale.
  • These rides cost more than average rideshare services, comparable to Uber Black. For instance, a 15-minute drive from Miami City Hall to Little Havana costs about $76.58 per ride.
  • Last year, Kerry KingBrown, the founder of Black Wolf, encountered legal issues in Georgia when a judge determined he had promoted the company as a private security firm without securing the required licenses.
  • Despite regulatory challenges in Georgia concerning licensure as a private security company, Black Wolf continues to operate, with founder Kerry KingBrown emphasizing it’s a tech company focused on safe transportation, not ongoing security services.

Is Uber Gouging Passengers While Underpaying Drivers? 🚙💸

Is Uber Gouging Passengers While Underpaying Drivers
Is Uber Gouging Passengers While Underpaying Drivers?

SOURCE – SHOW ME THE MONEY CLUB ON RSG YOUTUBE

While Uber’s treatment of drivers has often been criticized, it seems passengers are also being shortchanged.

According to screenshots obtained by Show Me The Money Club, Uber sometimes charges passengers up to three times the amount that drivers earn from the fare.

For instance, in the screenshot displayed above, Uber charged a passenger $48.50 (after a flash discount) for a 3.5-mile, 17-minute trip in Chicago, whereas the driver was set to earn only $10.22.

Waymo Car Involved in Rear-End Collision in San Francisco 🚗💥

Waymo Car Involved in Rear-End Collision in San Francisco
Waymo Car Involved in Rear-End Collision in San Francisco.

SOURCE – @SHAAN_CA ON X.COM

A Waymo self-driving car was involved in a rear-end collision on busy Lombard Street in San Francisco. The incident, first reported by @shaan_ca on X.com, has raised questions about the circumstances leading to the crash and whether the autonomous vehicle caused the accident.

However, according to Waymo, the accident occurred when their autonomous vehicle appropriately reacted to a red light, coming to a stop. The other vehicle involved (with a human driver) was reportedly speeding at over 50 mph before colliding with the stationary Waymo car.

ICYMI: What It’s Like To Drive for Wridz 🚙📝

ICYMI What It’s Like To Drive for Wridz
ICYMI What It’s Like To Drive for Wridz.

WATCH ON THE RSG YOUTUBE CHANNEL

Have you heard about WRIDZ? This up-and-coming competitor to Uber and Lyft is setting out to revolutionize the rideshare industry with an innovative new model.

But can this scrappy startup really challenge the big players?

Our contributor, Joe, based in Minneapolis, decided to find out firsthand. He signed up for Wridz and took several rides. Check out his experience and overall thoughts on starting with Wridz.

Quick Hits

📈 Financial analyst Jason Helfstein reaffirmed a bullish outperform rating for Uber shares, stating that the company holds the greatest potential for growth among large-cap internet firms. – INVESTOR’S BUSINESS DAILY

❤ Uber is launching “Uber Caregiver,” a service that enables caregivers to arrange, pay for, and monitor rides and deliveries for people with disabilities and those they assist. – DISABILITY SCOOP

👾 Hidden code in the Uber iPhone app suggests the company might soon introduce mini-games for users to play within the app. – MAC RUMORS

Must Listen Or Watch RSG Content

Here are this week’s featured podcast episode and YouTube videos: