NEW YORK (BRAIN) — This week has been action packed in the indoor cycling world, after Echelon stirred things up by announcing a "Peloton Killer" smart bike, called the Prime Bike, that it said it had developed with Amazon and would retail for $500 on that site. That would undercut Peloton's hot-selling bikes that start at more than twice that price.
The announcement caused Peloton's stock to decline as much as 6.7% early Tuesday, and ended the day 1% down.
But late Tuesday, Amazon distanced itself from the Echelon bike and removed its listing from its site. PR Newswire, which distributed Echelon's press release Monday, took it down from its sites.
Echelon's CEO went on Fox Business to blame the whole thing on a miscommunication. Peloton's stock rebounded Wednesday.
Many observers had noted that the Echelon's Prime Bike, while it lasted, appeared nearly identical to the model Echelon sells through WalMart.com for $500. That bike was out of stock by Wednesday evening.
