L.A.'s Bike Share Hits a Roadblock

The company behind the plan to place as many as 4,000 rental bikes around the city delays the launch after learning it can't sell advertising on its kiosks.
June 28, 2013

In spring 2012, Tustin company Bike Nation predicted the first phase of its L.A. bike-share program would be up and running by summer 2013. Soon after, officials said, as many as 4,000 bikes would be available to rent by the hour, the day or the week — similar to CitiBike, the program that launched in New York City last month to much fanfare.

To make money, the company planned to sell advertising on the 400 sleek, silver rental kiosks that it would place around Los Angeles. But a contract between the city and two media firms will almost certainly prevent that from happening, the company recently learned.

Bike Nation has delayed the bike-share launch while it reconfigures its business model and searches for corporate sponsors. Bike Nation's executives say the earliest the program will roll out is sometime next year.