Things are deteriorating rapidly for Peloton. Last month the fitness equipment company haled the production of its internet-connected, stationary bikes amidst lower demand — layoffs ensued, and now that the brand’s value has plummeted by 84 percent over the last year Amazon is rearing its head for a potential buy-low acquisition. Now, a recent report suggests Peloton has been purposefully selling rusted bikes to customers for thousands of dollars. Yikes.
According to documents seen by the Financial Times, higher-ups at the company were supposedly aware of rusting on “non-visible parts of its spin bikes,” and opted to both conceal the deterioration and then sell them to customers as new. Keep in mind that the base level bike, without any added tech, starts at around $1,500, while the internet-connected bike starts at close to $2,500.
