SAN FRANCISCO—The bike-sharing company, Bluegogo, is planning on leaving San Francisco. The Chinese-based company drew disapproval from city leaders when they were first rumored to be dropping thousands of bikes onto city streets earlier this year. The same concept is used by the company in China.
Instead of leaving bikes on sidewalks like in China, San Francisco customers could unlock a bike via a cell phone app at any station and ride it to another station.
Bluegogo was not favored within city government by a rival bikeshare company, Motivate, another Bay Area Bikeshare program that is backed by the Ford Motor Company.
Ilya Movshovitch, the Vice President of U.S. Operations, who played a key role in Bluegogo’s entry into San Francisco is no longer with the company.
In March, the San Francisco Board of Supervisors approved new laws to regulate station-less bikeshare companies like Bluegogo, which were implemented by Supervisor Aaron Peskin. The new laws included a new permit for bikeshares and administrative fines.
Bluegogo faced fines and possible police enforcement after violating zoning laws under the purview of the San Francisco Planning Department, which indicated that Bluegogo could not rent bikes from parking spaces not zoned for retail use.
New rules for bikeshare permits, were recently implemented by the San Francisco Municipal Transportation Agency and approved by the SF Board of Supervisors. The new permit process may allow Bluegogo to bring its bikes back on the road in San Francisco in the near future.