604

Peloton announces $95 “used equipment activation fee” (arstechnica.com)

submitted 2 months ago by AnActOfCreation@programming.dev to c/technology@lemmy.world

104 comments fedilink hide all child comments

Peloton is introducing a $95 "used equipment activation fee" for bikes purchased from outside its official channels in the US and Canada, aiming to boost revenue and maintain onboarding quality for new subscribers.
The fee has sparked criticism as it reduces the cost savings typically associated with buying secondhand equipment and diverges from practices in other industries, potentially discouraging used market purchases.
Peloton's hardware sales continue to decline, but subscription revenue has seen slight growth; the company still faces financial struggles despite cost-cutting measures and layoffs.

you are viewing a single comment's thread
view the rest of the comments

[-] billbasher@lemmy.world 21 points 2 months ago* (last edited 2 months ago)

My thoughts exactly. This seems like a short term play to boost the stock price, let execs get out of the market, then sell off the company before it goes under.

Also how are they gonna prove you didn’t buy it before the announcement and just didn’t register/use it until after? Seems to me that’s gonna be sticky in the eyes of ~~copyright~~ terms & conditions

[-] piecat@lemmy.world 9 points 2 months ago

I don't get what it has to do with copyright?

It's as simple as they built the equipment to require an app. And it needs the cloud, so its either accept the license or stop using the hw.

It's happening everywhere.

[-] billbasher@lemmy.world 2 points 2 months ago

Thanks, I meant terms & conditions, fixed. If I buy a product that does not have an activation fee in the t&c at time of purchase, legally I probably shouldn't have to pay it even if they implement it later and I waited to activate. That would maybe still require you to sign up even if you aren't paying to get the t&c then though. It could be argued that since the fee was not in place at time of purchase it shouldn't apply and that is what I meant by 'sticky' is all.

[-] rottingleaf@lemmy.world 2 points 2 months ago

let execs get out of the market,

A new business architecture without this particular flaw seems to be in pretty capitalist demand today.

Maybe something about conflict of interest being illegal for such positions. Maybe just cooperatives with modern technologies to help make them more organized.

this post was submitted on 23 Aug 2024

604 points (99.0% liked)

Technology

59261 readers

3620 users here now

This is a most excellent place for technology news and articles.

Our Rules

Follow the lemmy.world rules.
Only tech related content.
Be excellent to each another!
Mod approved content bots can post up to 10 articles per day.
Threads asking for personal tech support may be deleted.
Politics threads may be removed.
No memes allowed as posts, OK to post as comments.
Only approved bots from the list below, to ask if your bot can be added please contact us.
Check for duplicates before posting, duplicates may be removed

Approved Bots

founded 1 year ago

MODERATORS