Getaround suddenly closes car sharing operations in the United States

Getaround, the company that helps owners of vehicles to rent their cars, trucks and four -wheel drive vehicles to their other peers, closes its American operations one year after a reduction of 30 % of the workforce in North America like Part of the restructuring. Hyrcar, which you gained in 2023 For 9.45 million dollarsIt is also closing.

The company said on Wednesday Organizational deposit Likewise, in an email sent to the US agents, it is now focusing on its European business where it works in six countries, including Norway, Spain, France, Germany, Belgium and Austria.

The email, which TECHRUNCH saw customers to re -rent car by the end of Wednesday to avoid any gaps in coverage and said it is “knowledge of the risk of the inability to provide liability secure coverage in the United States”

“If you do not do so, you may be personally responsible for ensuring the coverage of the required responsibility insurance,” says email. Getaround said that its car protection program will not apply to any vehicle that has not been returned by the end of the day, which means that customers will be responsible for any damage.

Getaround, which was established in 2009 in San Francisco and was the final of the battlefield at Techcrunch in 2011, had a history of the ship.

The company was my darling VC, as it raised more than $ 750 million of prominent investors, including $ 300 million On a tour led by SoftBank. Other investors at Getaround Menlo Ventures, Peoplefund, Reid Hoffman, Mark Pincus Rebiant Capital, VectoIQ Steve Girsky, Mary Chan and Julia Steyn – for example, included but not limited to.

Getaround used this money to expand in other cities and ultimately Europe with it Earn 300 million dollars from leadership and Norweigan Car Rental Company NabobilBoth in 2019.

Company It was done in 2022 Through the process of integrating with a special purpose acquisition company, but soon faced a problem. Within months of a public offering, he received a Warning warning removal From the New York Stock Exchange. It also passed by hairstyles in 2023 And 2024.

“Wind Organization”

On February 7, the Board of Directors approved that it was a “organized decline” for the work of the US participation in the United States, which includes the demobilization of all American employees, according to its organizational report, which was published on Wednesday. The majority of these workers will finish their employment on February 14, while a few remain to help close the work.

Getaround estimates it will bear a fee ranging between $ 1.5 million and $ 2 million regarding strength reduction.

This organized wind may seem messy for any customers with a current or planned rental. In an email to customers, Getaround said it will support rents (including insurance coverage) until the end of Wednesday, leaving customers with little time to return vehicles. The company also canceled any future American rents.

“We are working closely with hosts and drivers to return vehicles as soon as possible,” says email. “Any claims or balances will be dealt with through the wind process.”

“It was an incredibly difficult decision, which was not made lightly and only after a careful study of various strategic options,” said temporary CEO and Coo AJ Lee, who will step down from the position.

“Despite the major improvements in the total profitability and the efforts of comprehensive restructuring, the company faced a continuous shortage of liquidity, which made us our operations no longer viable.”