Last week we traveled to San Francisco to attend the Micromobility America #MMA2021 event, where we met with key players across the #micromobility ecosystem that are pushing this #modeoftransportation – and way of living – to the next level.
The conversations and the energy in the room further validated our belief that micromobility will play a core role in the future of mobility, and that it has already become an essential form of transportation around the world.
Having said this, micromobility still must overcome multiple hurdles to become a viable alternative to traditional transportation. The biggest stall in the industry, as of today, is insurance, the single most expensive factor. On average operators are spending $50k to $75k annually to insure their fleets.
The second hurdle we noted is the relationship between local governments and operators. Even though cities have begun embracing micromobility, operators are still fighting over short-term contracts that don’t allow them to double down. Also, key players believe that government subsidies should become a topic of conversation in the future, as local governments already subsidize multiple forms of transportation.
The final hurdle that we saw affecting every player are stressed supply chains. All operators are having to plan years in advance to secure a healthy supply chain. Long-term planning with supply partners has become a MUST.
But more importantly, we also had the chance to meet in person, for the very first time, the teams of our portfolio companies Ridepanda and Joyride, and catch up with the Neptune Scooters team!
At P.V we continue to be bullish on micromobility and enjoyed spending an entire day understanding the pain points and opportunities, meeting the founders of our portfolio companies, trying out new vehicles (check that out in our Instagram stories) and overall getting inspired by the players that are driving the industry in the years ahead.