- cross-posted to:
- internetofshit@suppo.fi
- technology@hexbear.net
- cross-posted to:
- internetofshit@suppo.fi
- technology@hexbear.net
- 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.
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I recently read that a baby crib did the same thing they charge an activation fee after it’s sold. First we had subscriptions now we have reselling activation fees. It’s just another way to get a little bit more money.
Should just be illegal. Either you buy a thing or you rent it. This is cheating.
Anyone who has already purchased a Prloton, should be able to resell it. If they can’t, then I see a class action coming.
New sales could do this I guess, hopefully people will stop buying from crap companies
If they can’t, then I see a class action coming.
They talk about class action lawsuits so often, do those really still work to kill a company?
Cradlewise. At least that is a one time $120 fee and you don’t need an additional app subscription to use it, for now. It might get worse as the first set of users are just starting to sell theirs, as it’s useless after 2 years.
For Pelaton, it’s reactivation fee + app subscription.
If this shit is allowed, every other company will follow. Imagine buying a used car and getting hit up with a $1000 activation fee, fuck that
Don’t give them new ideas. Cars are already slowly turning into a SaaS on wheels.
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They do. At least for optional features like Apple Car and Android Auto.
Is this even legal in some other countries outside of the US and Canada lol, I know there is some countries out there with quite strict consumer protection and I’m pretty sure second hand Market is one of the more regulated ones
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.
Uh… what? No
Yeah I mean I’m not surprised that this business is failing. It always just seemed like a worse and more expensive version of something that was always inherently pretty boring.
I mean it was already overpriced for what it was, and it was only really good/popular during covid. A lot of people now will either go to the gym for classes or just get a bike without a $12-$49 monthly fee. I just can’t wait to see how long until they lock the wheels without a subscription
So they lost resale value and will have more trouble selling new hardware as well?
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
copyrightterms & conditionslet 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.
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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.
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.
Is this like an… idiot tax?
I cannot understand why lemmy gets up in arms over bullshit like this. If the idiots wish to pay, let them.
The people getting up in arms are upset because they see it as a slippery slope. First just the idiots pay for subscriptions, then it creeps into the lives of everyone. And eventually it’s harder to avoid the bullshit than just pay, and the whole market becomes more predatory. Like if the idiots give companies an inch, they’ll eventually take a mile
But this fee wasn’t there when people originally purchased this was it? If so, they will now have a less valuable product since they won’t be able to sell it as easily. Or are they only doing it for new units?
To my understanding, it has always only been usable with a subscription, so…
The “signing up for Planet Fitness membership but not actually using the gym” is the real idiot tax. Well, yeah, I guess this one is too.
Still too steep if thats what they consider a bargain price. Im all for companies making money long as they pay their rank and file fairly though
Don’t Tesla do the same bullshit? If you paid for some feature then sell the car, the new owner has to pay for it again?
This shit should be illegal.
Just outlaw things that don’t work without internet connectivity. Activation included.
AAAAND that’s the moment I’d go from frothing progressive to bomb-slinging radical. That very moment.
Why?
I hate the IoT with a fervor of ten thousand rabid honeybadgers and if it were legally mandated for every piece of technology, I would go full luddite and tear as much down on my way out to a cave in the woods as I could.
Ah, I meant the opposite, outlaw things that only work with IoT. Leave things that don’t.
But I’m not against you going bomb-slinging radical to make it happen
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Cory Doctorow calls this one “it’s ok because we do it with an app” and urges regulators to enforce the laws already on the books. It’s an absurd defense legally, but there’s no enforcement of antitrust or consumer law at all anymore
Lets hope a blue wave changes that. I mean I don’t have any illusions that dems aren’t almost as corporate owned, but Harris has voted more consistently with Bernie than any other congressman
If you sell it to a new owner directly you decide if you want to leave it with the car or take it for yourself (assuming you have another Tesla where to use it).
Only if you sell it to Tesla, they will remove it.
That’s the “full self driving”. All the newer cars come with computers capable of doing it, but you either pay a $99/month subscription or a one time $8k charge.
I just checked out their website and apparently you can either transfer it to a new Tesla or leave it with the car and basically sell it to the new owner. Not what I expected at all.
Havent heard anyone talk about this but its particularly inisidious because most likely consumers wont find out about this fee until AFTER they buy it…
They should have been more conservative in their business and expected that it was only surging because of the pandemic. They cashed in on the IPO but should have gotten out. Now they’re beholden to investors. Probably made enough money to not care if the company crashes and burns.
So you’re saying there will soon be a scene dedicated to cracking Peloton software.
Cuz that’s what I’m hearing.
Already exists. The Peloton subreddit has a guide on rooting your bike and installing custom apks.
Damn. Might be time to pick up a used one.
Thanks for the heads up.
lol
Wife and I bought a Peloton. It works well, we love it. I’m going to cancel the subscription and just use the damn thing without attending the classes etc like an old school stationary bike.
Sucks bc I enjoy a couple of the classes but this is BS
If more people were like you we wouldn’t have such shitty companies. They’d still be thirsty for every last penny but they’d know they cannot get away with it.
I think it is the opposite. Because everyone knows they don’t need the subscription, right or wrong Peloton needs to make up for subscriptions losses by introducing these one-time fees.
So, you mean the proper response to the failure of a shitty business model is to introduce a worse business model?
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It’s a huge tablet screen, probably running Android or if I had to guess. I haven’t bothered trying to look. Joining my friends in classes was fun and the mini social network aspect of it, especially during the lockdowns. But in the end the stationary bike aspect works and I dont have to pay to go to a studio somewhere
Valid point, good on you for upcycling
Will no one think of the onboarding quality?!
