Car sharing in the US is on the verge to take one more punch. Share Now is closing down its Car2go platform by February 29, 2020, in North America with “fewer cars accessible” as that date comes near. The firm was direct about the reasoning in an interview: it did not feel it was in a place to make the “amount of investment required” for succeeding in North America. High prices and the “volatile condition” of mobility services all over the world were major issues, Share Now claimed.
The firm claimed that it was withdrawing Car2go from all European regions other than Florence, Brussels, and London.
This is not the end of car sharing platforms in the US when familiar names such as Zipcar are still present. On the other hand, it limits a year of high-profile departures. BMW closed down its ReachNow platform in July, and LimePod is shutting down at the end of this year after Lime had issue finding an associate for its all-electric lineup. The Car2go conclusion comes after extensive efforts to keep platforms afloat, as well—Daimler and BMW mixed their vehicle sharing efforts last year.
The media asked for explanation on the instability that Share Now cited, but it is simple to see that the transportation sector is altering. Ridesharing behemoths such as Lyft and Uber are extending into regions such as bikes, scooters, and car rentals, offering you a series of Car2go options that either offer more flexibility or in the first place allow you avoid driving. There are also long-term issues that self-driving shuttles and taxis may wipe out the requirement to drive vehicles in the long run. Car2go has its reasons, but it might become less and less applicable to users being happy to allow somebody (or something) else take control of the car.