- Beam Mobility secretly deployed unauthorized e-scooters in Australia and New Zealand
- The company provided false data to avoid fees and increase profits
- This scandal raises concerns about e-scooter industry practices
Sneaky scooters on the loose
Beam Mobility, a prominent shared e-scooter startup, has been caught deploying hundreds of unauthorized “phantom” scooters in Australian and New Zealand cities.
This covert operation aimed to boost profits by dodging vehicle registration fees imposed by local governments. The Australian’s investigative report uncovered leaked documents and Slack messages detailing the company’s deceptive practices.
Numbers game gone wrong
The scandal reveals how Beam provided false data to independent monitoring app Ride Report, deliberately understating the number of scooters in major cities like Brisbane, Canberra, and Auckland.
This tactic allowed the company to circumvent city-imposed caps on vehicle deployment, which are designed to prevent oversaturation and ensure pedestrian safety.
Profit pursuit backfires
A leaked document, allegedly bearing the name of Beam co-founder Deb Gangopadhyay, outlines a plan to secretly deploy an additional 1,000 scooters in prime locations across multiple cities.
This strategy aimed to generate an extra $150,000 in profit. The revelation raises questions about the integrity of Beam Mobility, which recently secured $135 million in funding from high-profile investors.
