Scooter Start-up GOAT Takes a Franchise Approach to Expansion
*By Jacqueline Corba*
Electric scooter start-up GOAT is taking a different approach to expanding outside its home market of Austin, Tex.ーrather than setting up shop in new cities, it's trying to sell its own fleets to wannabe transportation moguls around the country.
Co-founder and CEO Michael Schramm says the strategy was borne out of demand to get into the booming industry.
"There's only, in addition to GOAT, four other companies operating with active scooters on the ground in the United States," Schramm told Cheddar on Wednesday. "There are hundreds who want to compete in the space."
"For us, it was about, 'Let's reduce these barriers.' The alternative is that they're going to invest millions, try to build out the technology. "
In a few weeks, ambitious 'investors' can buy their fleets through a Kickstarter campaign. Vehicles start at $595 and go as high as $1,199, depending on factors of supply and demand.
"You don't need 500 to turn a profit, you can turn a profit on one," said Schramm. "It's a tremendous business opportunity for regular local businesses."
There's one other benefit to GOATーthe company won't have to deal with local legislation. Transit authorities have been cracking down on e-scooter companies over the last few months. San Francisco officials, for example, pulled Lime, Bird, and Spin scooters off city streets in [June](https://cheddar.com/videos/inside-the-electric-scooter-craze), pending a review of new permit applications.
GOAT will provide the scooters, technology, and insurance for vehicles. But fleet investors will be responsible for negotiating with local transit authorities.
GOAT, which has been operating in Austin since May, has a deal with [city officials](https://www.austinmonitor.com/stories/2018/07/e-bikes-e-scooters-not-welcome-in-austin-parks/) to operate in the Texas capital. The start-up is self-funded, unlike bigger players Lime and Bird, which have each raised more than $400 million in venture capital funding.
For more on this story, [click here](https://cheddar.com/videos/start-up-goat-taking-on-scooter-wars-by-empowering-local-entrepreneurs).
Wealthfront’s CFO Alan Iberman talks the $2.05B IPO and the major moment for robo banking as the company bets on AI, automation, and “self-driving money."
A rare magnum of Dom Pérignon Vintage 1961 champagne that was specially produced for the 1981 wedding of Prince Charles and Lady Diana has failed to sell during an auction. Danish auction house Bruun Rasmussen handled the bidding Thursday. The auction's house website lists the bottle as not sold. It was expected to fetch up to around $93,000. It is one of 12 bottles made to celebrate the royal wedding. Little was revealed about the seller. The auction house says the bids did not receive the desired minimum price.
The New York Times and President Donald Trump are fighting again. The news outlet said Wednesday it won't be deterred by Trump's “false and inflammatory language” from writing about the 79-year-old president's health. The Times has done a handful of stories on that topic recently, including an opinion column that said Trump is “starting to give President Joe Biden vibes.” In a Truth Social post, Trump said it might be treasonous for outlets like the Times to do “FAKE” reports about his health and "we should do something about it.” The Republican president already has a pending lawsuit against the newspaper for its past reports on his finances.
OpenAI has appointed Slack CEO Denise Dresser as its first chief of revenue. Dresser will oversee global revenue strategy and help businesses integrate AI into daily operations. OpenAI CEO Sam Altman recently emphasized improving ChatGPT, which now has over 800 million weekly users. Despite its success, OpenAI faces competition from companies like Google and concerns about profitability. The company earns money from premium ChatGPT subscriptions but hasn't ventured into advertising. Altman had recently announced delays in developing new products like AI agents and a personal assistant.
President Donald Trump says he will allow Nvidia to sell its H200 computer chip used in the development of artificial intelligence to “approved customers” in China. Trump said Monday on his social media site that he had informed China’s leader Xi Jinping and “President Xi responded positively!” There had been concerns about allowing advanced computer chips into China as it could help them to compete against the U.S. in building out AI capabilities. But there has also been a desire to develop the AI ecosystem with American companies such as chipmaker Nvidia.
