Berlin-based E-scooter Company Faces Financial Turmoil
Unu, the Berlin-based e-scooter manufacturer, has filed for insolvency. The move was announced on Friday, following an application filed with the district court in Berlin-Charlottenburg on Thursday. The company cited rising material and transportation costs, escalating operational expenses, and a sharp decline in demand due to inflation as reasons for the insolvency.
Unu was established in Berlin about a decade ago and employed around 50 people as of late. The company had a presence in Germany, France, Austria, and the Netherlands. Despite facing numerous challenges overnight, Unu continued selling its electric scooters in various European countries. However, the escalating urban traffic congestion made it challenging for the company to distribute its e-mopeds effectively.
Unu plans to maintain its business operations during the insolvency proceedings and aims for a restructuring solution, according to insolvency administrator Gordon Geiser. He sees a good chance for the company to continue sales and service of its scooters. To achieve this, the company announced revitalizing its scooter subscription and expanding its offline presence with retail partners in 2023.
In the broader context, Berlin has been grappling with austere measures and budget cuts. The Berlin Senate adopted an austerity budget aiming to save €3 billion this year and at least €2 billion the next, leading to concrete impacts on universities and public services in the city. For instance, Humboldt University is facing significant cuts, including a third of its Student Services budget being slashed, which may trigger discontinued counseling and childcare services, increased meal prices, and potential job losses.
As the City contends with the repercussions of these austerity measures, a sense of unity among students, staff, and workers across various sectors has emerged. They advocate for a resistance movement against these cuts, emphasizing the need to align forces in this endeavor.
References:
[1] Tanczos, L. (2023, January 26). Berlin University faces massive budget cuts. The Local. Retrieved from .
[3] Fasenfest, U. (2022, December 6). Berlin's Impending Austerity Measures: Opportunities to Counteract Rising Fascism. Critique, 65(1), 67-97.
