Electric car-sharing firm BlueSG to wind down current operations on Aug 8, lays off staff

SINGAPORE – BlueSG will wind down its current operations on Aug 8 at 11.59pm, the electric car-sharing company announced on Aug 4.

It added that billing, account closures, and subscription adjustments and refunds will be managed until the end of August.

The firm said it is embarking on a major platform upgrade to better serve the “evolving needs of urban mobility” in Singapore. The upgraded platform will introduce a refreshed fleet, an expanded network with more pickup and drop-off points, and enhanced technology that will enable it to be more reliable and efficient.

A BlueSG spokeswoman said the company is laying off staff, but did not disclose the number of employees affected.

This, she said, “reflects the reduced operational scale during the pause period”.

“We are working closely with affected employees to provide fair severance, career support and, where possible, explore redeployment opportunities within the wider group,” she added, noting that the company hopes to welcome back employees when new roles open up with the upgrade.

The new service is slated to be launched in 2026.

BlueSG was bought by Goldbell, a Singapore commercial and industrial vehicle giant, in 2021 from Bollore Group, a French conglomerate that introduced the service here in 2017.

It is the only service that offers per-minute rental and an A-to-B service, where users return the cars at a different location from the one they picked the cars up from.

BlueSG chief executive Keith Kee said: “As the landscape evolved and we observed the potential scale of car-sharing users, it became clear that the current infrastructure of BlueSG needs to be upgraded fast to meet the demands of tomorrow.

“That’s why we’re taking bold steps now to pause, minimise distractions and focus our resources on delivering a completely new platform.”

The upgrade will be designed from the ground up, BlueSG said.

Existing users of the platform can look forward to exclusive privileges at the launch of the new service.

Further updates, including timeline, features and launch plans, will be announced in the coming months, the company added.

The Consumers Association of Singapore (Case) said it has worked with BlueSG to create a dedicated channel to address matters related to the refund of credits and outstanding bills.

Those who need help may approach Case via its hotline on 6277-5100 or its website at www.case.org.sg

BlueSG was launched in 2017 as the first electric car-sharing service in Singapore and as part of the

Land Transport Authority’s pilot programme

for a national-level electric vehicle car-sharing initiative.

The company now runs a fleet of almost 1,000 electric vehicles, with more than 1,500 charging points.

The BlueSG spokeswoman said that since Goldbell acquired the car-sharing service in 2021, the platform has grown its subscriber base from 140,000 to more than 250,000. The company declined to disclose the number of active users when asked by The Straits Times.

BlueSG currently offers three tiers of membership – the basic level is free, while the other two levels, which cost $8 and $18 a month, offer different privileges.

Between 2023 and the second quarter of 2024, BlueSG underwent a “technical migration” to stabilise the platform and improve user experience. This was done without any disruption to the service, although there were user complaints during the transition, which included issues with booking cars, as well as billing.

The BlueSG spokeswoman said: “Through that migration, it also became clear that the current infrastructure needed a decisive, future-ready upgrade – one that could better support the changing mobility landscape. Emerging technological advancements also reinforced the urgency to act decisively.”

The company is also evaluating new models that will gradually replace the old cars in the fleet.

Dr Victor Kwan, a senior lecturer at the Singapore University of Social Sciences who researches marketing-related subjects, was surprised that the company decided to take such a long break to make the transition instead of making an immediate switchover when the new platform is ready.

He believes users will leave for alternatives in the interim instead of waiting for the relaunch, so BlueSG will basically be restarting its business from scratch, besides bearing the cost of its car fleet sitting idle in the meantime.

Mr Vincent Low, 46, a sales manager in the energy sector, said it is the “right move” for BlueSG to temporarily cease operations while it upgrades its platform. He recalled having problems booking cars when BlueSG last did its major upgrade, and how the system has been “very unstable” since.

He looks forward to the upgraded platform, noting that BlueSG has recently introduced more types of rental packages and charging stations in more locations. “They are making efforts, but (I) can see that their internal (affairs) are in a mess. They need time to do housekeeping and (to) put everything back on track,” he said.

Ms Aisyah Mazlan, 28, an engineer who uses BlueSG daily to take her 13-year-old brother to school before driving to work, said that after making users like her wait for so long for the upgrade, “the improvements had better be worth it”.