SAN FRANCISCO ¨C Ride-hailing startup Juno once billed itself as the ¡°anti-Uber¡± ¡ª a kinder, gentler way to get a ride. It¡¯s now closing down its New York-based operations, and inviting customers to join Lyft Inc.
Juno is owned by Gett Inc., a Tel Aviv-based ride-hailing company that spent $200 million to acquire the business in 2017. In a statement Monday, Gett announced it was shutting down Juno and that it would start a partnership with Lyft, allowing Gett¡¯s corporate clients to access Lyft rides through the Gett app beginning next year.
The company cited ¡°misguided regulations¡± on ride-hailing companies in New York City, as well as an increased focus on Gett¡¯s corporate clients, as reasons to shutter Juno. ¡°This development reinforces Gett¡¯s strategy to build a profitable company focused on the corporate transportation sector, a market worth $1 trillion each year,¡± Gett Chief Executive Officer Dave Waiser said in a statement.
Once seen as a promising competitor in the crowded New York City ride-hailing market, Juno first launched in 2016 by touting itself as the driver-friendly alternative to Uber Technologies Inc. It offered an equity package to drivers, promising them a chance to share in the wealth if the business was successful. But big payouts to drivers did not materialize after Juno¡¯s sale to Gett. Juno drivers will be paid in full for all rides completed by Monday evening, the company said.
Gett, most recently valued at $1.5 billion, has so far raised more than $800 million in backing from investors. The company had weighed a sale of Juno last summer.
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