Arrow-right Camera
The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

A nice Segway

Michael P. Regan Associated Press

Thieves used to break into as many as five cars a week in the parking garage at Los Angeles’ Union Station. Then the Metropolitan Transportation Authority came up with a simple solution: They put a security officer on a Segway Human Transporter.

“The first day that one of the security officers was on the device was pretty much the last day there was a break-in,” said Robin Blair, a transportation planning manager for the MTA, which owns about 19 Segways.

Although the electric, self-balancing Segway scooter never quite caught on with commuters the way its backers had predicted five years ago, the gizmo has found a growing market among law-enforcement agencies, with more than 100 departments around the world now signed on as customers and many others testing the device.

The niche market, coupled with a burst of interest from Europeans struggling with gas prices much higher than in the U.S., have breathed new life into the Segway.

And Segway Inc. President and Chief Executive James Norrod, hoping to parlay the growth into a payday for the original investors in the scooter, has made grooming the company for an initial public offering in the next few years a top priority. Norrod said he was brought in as CEO last year for just that purpose by Segway’s principal investors, Credit Suisse Group and the venture capital firm Kleiner Perkins Caufield & Byers, best known for its early investment in Google Inc.

“They thought it was the right time to bring me in to really lead this company through this crucial period and to a liquidity event,” said Norrod, who began his career as a sales rep for IBM and went on to head the dial-up network company Telebit Corp. until it was purchased by Cisco Systems Inc. in 1996.

Gauging Segway’s prospects in an IPO is difficult, since the company will not reveal its yearly revenue or whether it is profitable. Norrod will only say that “tens of thousands” of Segways have been sold around the world, and that the company’s revenue has been growing by at least 50 percent over each of the last few years.

International sales were only about 5 percent of Segway’s business two years ago, but by the end of this year could account for as much as 40 percent — much of it from law-enforcement customers and commuters struggling with high gas prices in Europe. The company also recently set up dealerships in Japan and China.

The company says the Human Transporter gets the equivalent of about 450 miles per gallon, based on the amount of gas it would take to create the electricity needed to run it.

For police and security users, many of whom bought the device with grants from the Homeland Security Department and other federal agencies, the fuel efficiency is only an added bonus.

In Los Angeles County, MTA’s Blair said officers prize it because it allows them to stand a head taller than they would on foot, so they can see over crowds and cars and project a more prominent presence at events like the Rose Bowl parade.

The scooters, which travel as fast as 12.5 mph, also allow an officer on patrol to cover a much greater distance than on foot, go indoors, onto elevators and other places bigger vehicles can’t.

In other applications, several bomb squads, such as those in Ventura County, Calif., and Little Rock, Ark., are using Segways to transport officers in bombproof and hazardous-material suits that can weigh as much as 100 pounds. The Segway allows them to scoot in and out of a scene quickly.