The Bike-Share Market Heats Up In The Boston Metro Area

Apparently, conflict is brewing between competing bike-share companies. The Boston Globe reported that the City is:

“… seizing vehicles from a Cambridge startup called Ant Bicycle, whose sudden incursion has tested the city’s ability to keep up with the fast-changing bike-rental industry… Ant is one of a growing number of so-called dockless bike companies, which offer an alternative to traditional public cycling systems like Blue Bikes (formerly Hubway). Blue Bikes requires users to pick up and drop off bikes at stations spread out around Boston, Brookline, Cambridge, and Somerville. It has a virtually exclusive territorial arrangement in those municipalities. Dockless systems bring new competition to the market… But officials in the Blue Bikes municipalities say the dockless systems aren’t welcome, because the Blue Bikes contract designates the company as the sole bike system.”

What genius negotiated exclusivity in the bike-share contract? Competition is good, since it usually applies downward pressure on prices. Plus, consumers’ travel needs may extend beyond the city’s borders.

Reportedly, the situation will get worse this summer:

“… when thousands of dockless bikes from other companies are deployed in 15 Boston suburbs, including Milton, Newton, and Medford. Those municipalities gave blessing to two national companies, Spin and Lime, through a regional agreement established by the Metropolitan Area Planning Council… Ant, for example, has permission to operate in Swampscott, while Quincy has an agreement with another company, Ofo.”

Learn more about bike-sharing services.