Uber and Lyft will roll out scooters in San Francisco

Phil Peters

Ofo's protracted application for a permit to run the city's first bike share scheme was rejected by authorities, meaning the USA scooter craze could be the bike company's chance to have a visible (bright yellow?) presence in the tech center. The law says that over the next year only five companies will get permits to put their scooters throughout the city.

San Francisco's transportation agency will lend out up to five permits to the scooter companies, so Uber and Lyft will be competing for dominance in the scooter business with other scooter startups like Bird, Lime and Spin. Motivate is not on the list of San Francisco scooter applicants.

Uber confirmed to Business Insider that JUMP, the electric bike share company Uber recently acquired, is applying for a scooter permit in its hometown of San Francisco. The number of scooters is also limited to 1,250 in the first six months. The permit process was instituted after thousands of electric scooters descended on San Francisco in April with little to no warning to city officials.

Some locals rejoiced at being able to easily scoot block to block in the congested city.

They are also requiring companies or individual to provide a proposed service area as well as have a plan to address sidewalk parking and riding.

Scooter heavyweights Bird, Spin and Lime which already run e-scooter hire schemes in the city have applied as have vehicle ride-sharing firms Lyft and Uber (via Jump, the scooter brand it bought).

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The SFMTA has reacted to numerous complaints about scooters.

Electric scooters can certainly be an eco-friendly way to get around town, with the cost to ride them as cheap as $0.15 per minute.

Uber has declined to comment on the report from Axios so we'll just have to wait and see how this one pans out.

First look at the ofo e-scooter with Segway branding.

For both Lyft and Uber it's unclear if the applications mean they'll be building out their own fleet of e-scooters that unlock via a credit card-linked mobile app, or partnering or acquiring an established scooter-share company.