Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

The bike business shifts gears

Shimano and Ideo go tandem on a bike for everyman.

By Michael V. Copeland, Business 2.0 Magazine senior writer

(Business 2.0 Magazine) -- The bicycle industry is going wobbly. Annual sales dipped from $6.2 billion to about $5.8 billion after Lance Armstrong retired in 2005. So Japanese giant Shimano, the Intel of bike components, enlisted top Silicon Valley design shop Ideo to create a bike that would appeal to a vast potential market: people who like the idea of biking, but not the spandex-clad seriousness of bike shops.

The result is now on sale for up to $700 from industry titans Giant, Raleigh, and Trek. Says Trek brand manager Derek Deubel, "We expect it to be a driving force for growth."

1 PEDAL POWER A dynamo in the front hub powers a computer under the frame when you start pumping.

2 HELPING HAND The drivetrain computer senses how hard you're pedaling and shifts gears accordingly.

3 SOLID STOP Coasting brakes, like the ones on your first bike, eliminate those clumsy levers on the handlebars.  Top of page

To send a letter to the editor about this story, click here.