e-scooter sharing service bags US$6.4m in seed funding
Singapore
SINGAPORE-based transportation startup Beam has snagged US$6.4 million in seed funding to launch a shared mobility platform in Singapore and Asia, starting with e-scooters.
The round was led by Sequoia India, Founders Fund, ZhenFund and Class 5 Global. Other backers included Arbor Ventures, Insignia Ventures, 500 Startups, Gobi Partners, K2 Global and Pascal Capital.
With the seed funding, Beam will invest in building the infrastructure for its platform, purchasing e-scooters, developing the Ride Beam mobile app, and growing the team for its imminent rollout in Singapore.
Beam will officially debut its e-scooter sharing service in Singapore in the coming weeks, and has plans to expand into other countries, including Malaysia, Australia and South Korea.
At launch, Beam's e-scooter fleet in Singapore will be "relatively small", Christopher Hilton, Beam's vice-president for corporate affairs, told The Business Times. In the same vein, Beam said on its website that it will not "dump vehicles" in cities for the sake of gaining market share.
Even so, it has a growth plan in place that ensures that its fleet size will always meet demand from its riders, Mr Hilton said.
When asked how Beam differs from American e-scooter sharing players Bird Rides and Lime - both of which have raised massive amounts of money but have yet to arrive in the Asia-Pacific - Mr Hilton said: "Beam is focused on being an Asia-first platform, by concentrating on the needs and demands of the localised populations.
"This will be supported by our team who have a wealth of experience in the mobility sharing space in Asia."
The startup has limited the speed of its e-scooters to ensure safety for its riders and the public. This is after it recognised that its vehicles, manufactured by Xiaomi-backed Chinese scooter startup Segway Ninebot, are "powerful and efficient".
Beam also believes it is key to create an ecosystem that benefits the environment it operates in, said Mr Hilton.
"To this end, we have plans to proactively engage with governments to create real partnerships that help grow the Asian cities of the future."
Beam's founder and chief is Alan Jiang, who was formerly Uber's country manager for Indonesia and ofo's head for South-east Asia.
Mr Jiang said Beam's vision is to change the way people move around in Asian cities.
To use, commuters simply locate a Beam e-scooter, unlock it with the Ride Beam app, and ride it to their destination. A trip starts from S$1 and no deposit is required. Payments can be made through the Ride Beam app using a credit card.
The startup has plans to "expand payment options".
When asked if Beam would be open to joining GrabCycle - a marketplace app by Grab that unites bike and e-scooter sharing services on one platform - Mr Hilton said: "Beam's main focus and priority is to develop our platform and to grow the shared mobility community in Asia."
Abheek Anand, managing director of Sequoia Capital (India) Singapore, said his firm's investment in Beam is driven by the "largely unsolved problem of first and last mile transportation", to which shared personal mobility is a promising solution.
"The founders of Beam have a deeply relevant background and a compelling vision for what urban transportation should look like."
