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Porsche have closed their Porsche eBike Performance business. Across the overall "strategic realignment", more than 500 people are losing their job - not great news.
More details: https://newsroom.porsche.com/en/2026/company/porsche-sharpens-focus-on-core-business-42440.html
Pertinent piece of the PR:
Porsche eBike Performance
Porsche eBike Performance GmbH was established to develop high‑performance e‑bike drive systems and market them worldwide. Due to fundamentally changed market conditions for e‑bike drive systems, the activities of the joint venture will be discontinued. This measure is in line with Porsche AG’s strategic focus on its core business. The closure of operations at the Ottobrunn and Zagreb sites affects around 360 employees.
Wonder if this is coincidental timing with the new Avinox system...
PR about Porsche eBike division being done.
Porsche sharpens focus on core business
Ottobrunn, 8 May 2026 – Porsche eBike Performance GmbH will be discontinued following the planned sale of Porsche AG’s stakes in Bugatti Rimac and the Rimac Group, Dr. Ing. h.c. F.
At a glance
Porsche AG is implementing extensive measures as part of its strategic realignment, which includes the subsidiaries, Porsche eBike Performance GmbH, based in Ottobrunn, Cellforce Group GmbH, based in Kirchentellinsfurt, and Cetitec GmbH, based in Pforzheim, are to be discontinued.
In total, more than 500 employees are affected. Dr. Michael Leiters, Chairman of the Executive Board of Porsche: “We must refocus on our core business. This is the indispensable foundation for a successful strategic realignment. This forces us to make painful cuts — including our subsidiaries.”
Porsche eBike Performance
Porsche eBike Performance GmbH was established to develop high‑performance e‑bike drive systems and market them worldwide. Due to fundamentally changed market conditions for e‑bike drive systems, the activities of the joint venture will be discontinued. This measure is in line with Porsche AG’s strategic focus on its core business. The closure of operations at the Ottobrunn and Zagreb sites affects around 360 employees.
More information about the Porsche AG announcement can be found here.
Brose said it's a lost battle and sold the business to Yamaha: https://www.pinkbike.com/news/brose-sells-e-bike-division-to-yamaha.html
As for Porsche, I wouldn't be surprised if a big part of them closing this down is also focusing on what makes the Porsche brand Porsche considering their profits are eroding on the car side lately. It doesn't help to have a fancy ebike drive system with your name on it if you're not selling cars anymore.
Wasn't Fazua under the Porsche umbrella?
I read the Porsche bike bit as they figured out they've no idea what to do in the market, I.E. staying in their lane. Car co's aren't exactly poised to understand the e-mobility marketplace. If Yamaha can bomb out I can't see a 4wheeler co making anything remotely market aligned. At least not yet.
Good question
Propain: Sold out (supposedly)
Pivot: Sold out (LBSs have them however)
Amflow: Sold out
Everyone else seems to have a June delivery.
This. Porsche is in trouble right now. They just sold off their Bugatti-Rimac stake, and they are closing down the IC Macan. Their EV investments are not paying off, with US and China EV sales doing poorly.
yes, and they are in ottobrunn. ottobrunn is done according to the press release
Unloaded my Fazua ebike at the perfect time then.
Santa Cruz, Transition, Pivot, and Canyon among others all run Fazua motors. Are these bikes going to turn into expensive bricks when spares run out, or will we see the IP sold to someone else? Hard to imagine its as valuable as it was even a few months ago. Should things turn for the worse for riders running Fazua systems, I'd imagine a brand like Santa Cruz, who prides itself on customer service, is going to have to offer pretty attractive "crash replacement" deals to get riders onto their other platforms.
On the car side I suspect Porsche will be fine; they'll fix it with more gas powered special editions.
Those interested, full substack is posted on Fox Factory's Q1 results. I'm not going to say "its a snooze fest" but there really isn't a ton to report on unless you are a finance mega nerd like me. The bike biz is at best flat compared to last year. The company didn't do anything groundbreaking from an operational or management perspective. I made the analogy that its a bit like watching a big giant boat turn - it takes both time and space to do that. We'll see where they end up by the end of 2027.
Report from Orbea's annual General Assembly:
---------------------------------------------------------------
ORBEA CONSOLIDATES SALES AND PROFITABILITY IN 2025 IN A CONTEXT THAT REINFORCES ITS VALUE PROPOSITION
On May 9, Orbea held its annual General Assembly, highlighting a model built on profitable growth and the creation of long-term value. The cooperative strengthens its position thanks to strong commercial performance, protection of margins and a continuous commitment to innovation and product development.
In this context, Orbea also presented its new Impact Plan (available to consult in PDF form at the end of this article), an initiative designed to structurally integrate social, industrial and environmental impact into the way the company competes and develops its business project.
The cooperative believes impact should not be understood as something separate from the business itself, but rather as a direct consequence of how value is created, reinvested and shared. From this perspective, Orbea drives transformation and progress through the power of cycling, guided by its cooperative values and a long-term vision.
“At Orbea, impact is not something that happens after business activity. It is part of how we make decisions, invest and build the future,” says Daniel Martínez, CEO of Orbea. “As a cooperative, we work with a long-term mindset. We want to build a competitive and profitable company, but also one that is useful for people, the local community and future generations,” he adds.
2025 Market Context
Once again, the bicycle industry has operated in a particularly complex environment, marked by excess supply, promotional pressure and the need to generate liquidity immediately. This situation has pushed much of the sector into widespread discount dynamics that have significantly deteriorated margins and, in many cases, compromised the future sustainability of numerous business models.
In response to this situation, Orbea has maintained a position consistent with its strategic principles, reinforcing its commitment to staying as close as possible to its distribution network while doubling down on value protection, innovation and its product proposition.
During 2025, the brand launched new platforms and developments that received broad recognition from some of the industry’s most respected independent media outlets, reinforcing its positioning in high value-added segments. At the same time, Orbea has continued working closely with its distribution network, consolidating a collaboration model based on flexibility, joint adaptation to demand and shared responsibility. These factors have proven key in navigating one of the most demanding periods the industry can remember. Continuous market monitoring and the disciplined management of a prudent, responsible sales plan enabled Orbea to close the 2025 financial year with a limited 2.3% reduction in revenue compared to 2024 and minimal impact on margins, maintaining results aligned with the average of the past five years.
The company views these results as proof of the strength and maturity of its business project, which over the last five years has doubled the employment generated, now surpassing 1,000 employees, 80% of whom are based in the Basque Country.
Looking Ahead
The resources generated remain key to addressing the brand’s planned strategic improvement projects, including the expansion of manufacturing and logistics capabilities, as well as the development of new technologies and the training of the people who make up the cooperative. It is also worth noting that nearly 20% of these results are allocated to the different solidarity and social action funds established within the cooperative’s internal framework.
2026 is shaping up to be a key year, with the potential to redefine the sector in a global context marked by uncertainty. Alongside the most ambitious product launches, other projects are also taking shape, reinforcing consistency and high standards across every touchpoint. One example is the renewal of the website, scheduled for May 10 (www.orbea.com), where each bicycle and the personalization experience are given greater prominence, while expanding the space dedicated to communicating Orbea’s purpose, values and essential identity.
Another example is the continuation of brand communications under the “Draw the Line” umbrella, a tagline introduced a year ago alongside its launch campaign and which has already received widespread recognition.
New Leadership Appointments and Recognition
During the Assembly, voting took place for the governing bodies that must be renewed every four years. In this case, members voted for the new people who will form the Governing Council and for the new Presidency. Nagore Larrabeiti, who joined Orbea more than 20 years ago and has served as Financial Director since 2012, was elected as the new President of the Cooperative.
Following her appointment, Larrabeiti expressed her gratitude for the legacy and work carried out by Ruben Gabilondo over recent years, as well as for the trust placed in her by the cooperative members. The new President also shared her enthusiasm and commitment to continue driving the Orbea project forward through a long-term cooperative vision with people at its center.
2025 IMPACT REPORT
Some of the word salad gives me Office Space vibes.
I genuinely like Orbea, but as a dude who obsesses over this stuff, when I read things like "Value protection," "disciplined sales plan," and "consistency with strategic principles," I sort of cringe.
The company is bouncing along the bottom just like every other bicycle company that doesn't start with an "A." Things aren't getting worse, which is good. But now that there are new kids in town and margins are under pressure, it looks like a pivot to reminding us all how good Orbea is for the industry and the planet, hoping this makes up for the expected delta in price/performance.
I know, this is me speculating, but 1,000 people with 80% in the Basque country is a big nut compared to what the other guys are likely floating. And let's not forget, they don't have anything super special on the e-bike front anymore. No proprietary motor, no meaningful IP, no real margin power.
I dig the coop structure. I like Orbea and they make great bikes. But hoping consumers buy on values rather than a blend of spec/price/performance feels like grasping against headwinds of too many people and a tough-to-layoff European labor environment.
Gulp.
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