SoundCloud’s founders launch e-bike subscription service ‘Dance’
Dance cofounders (L-R): Christian Springub, Eric Quidenus-Wahlforss, and Alexander Ljung.
The founders of music streaming service SoundCloud, Eric Quidenus-Wahlforss and Alexander Ljung, have launched a brand new electrical bike subscription start-up referred to as “Dance” with their buddy Christian Springub.
The Berlin-based founders are the most recent entrepreneurs to attempt to capitalize on stylish e-bikes, which have soared in recognition through the coronavirus pandemic as metropolis dwellers search for a substitute for public transport.
As a substitute of promoting e-bikes outright like Belgian agency Cowboy and Dutch agency VanMoof, Dance needs to create a neighborhood of subscribers all over the world. With e-bikes usually promoting for effectively over $2000, the SoundCloud founders imagine that folks will likely be extra inclined to pay a month-to-month subscription price by way of an app than to purchase an e-bike outright.
For €59 ($68) a month, Dance clients get an “city” e-bike that may attain speeds of 15mph (25kph) and free repairs. If the bike is misplaced or stolen, Dance will change it “instantly” without cost. The e-bikes are manufactured in mainland China and Taiwan.
Dance will begin by rolling out round 200 e-bikes in Berlin on an invite-only foundation over the subsequent couple of weeks, Dance CEO Quidenus-Wahlforss instructed CNBC.
“Shopping for and proudly owning an e-bike is a trouble,” he stated. “That’s the reason we got down to create a frictionless e-bike subscription service with no upfront prices and all-inclusive companies. Dance is the proper answer for individuals who are in search of a wholesome, environmentally pleasant, time-saving and joyful type of mobility.”
The corporate has been backed with an undisclosed quantity of funding by enterprise capital agency BlueYard, in addition to people like: Ilkka Paananen, founder and CEO of cell gaming agency Supercell; Neil Parikh founder and chief technique officer of mattress retailer Casper; and Bjarke Ingels, the founder and chief govt of BIG Architects.
Ljung, who’s Dance’s chairman, identified that music was one of many first industries to witness a shift from possession to subscription. “At SoundCloud we helped usher on this transformation and established the world’s largest and most passionate music neighborhood,” he stated. “Now we need to switch this expertise to the mobility area and begin a motion that may in the end make our cities extra livable.”
Streaming to biking
Past the subscription mannequin, SoundCloud and Dance have little else in widespread.
The music-streaming service, which permits individuals to add, promote and share audio, has had a bumpy journey over the previous couple of years.
Based in 2007, SoundCloud turned considered one of Europe’s best-known start-ups. Nonetheless, the corporate has all the time confronted stiff competitors from Apple and Spotify. In July 2017, SoundCloud was on the point of extinction, however it managed to lift $170 million from traders the next month to assist it keep afloat.
In February, shortly earlier than the pandemic hit onerous in Europe, SoundCloud introduced it had raised an extra $75 million from satellite tv for pc radio big Sirius. Ljung will keep on as SoundCloud’s chairman.