In a letter to Peloton members on Monday, CEO John Foley said the company would no longer offer classes featuring the more than 1,000 songs by artists that were named in a $150 million copyright lawsuit filed by a group of music publishers on March 19.These publishers have accused Peloton of using the music without the proper permissions.
"Peloton respects the rights of all creators, including performing artists and songwriters. The filing of the lawsuit is unfortunate and disappointing, as it occurred after what appeared to be fruitful discussions with most of the publishers named. Regardless, out of an abundance of caution, we have decided to remove classes that feature songs that were identified by these publishers," Foley said in the letter to members.
"The majority of the Pro Cyclist rides are gone now," one member wrote on Reddit . "This was actually a huge loss."
"Wow this is crazy. I checked to see what rides I could retake and over half of them are gone," another said .
"Wow, only 53 classes still available out of the 205 I have done," another commented on Reddit.
A spokesperson for the company declined to comment beyond the letter and would not confirm how many classes had been cut or whether new classes would be added.
Founded in 2012, Peloton is a high-tech fitness company that enables users to stream live and on-demand classes from anywhere. It offers two products, a bike and a treadmill , which start at $2,245 and $4,295, respectively. There is an additional $39 monthly fee to stream the classes, which range from 10-minute, low-impact classes to 45-minute, high-intensity classes with weights.
The company was recently valued at $4 billion after it closed a $550 million financing round in August. It is now making plans to file for an IPO in the second half of 2019, The Wall Street Journal reported earlier this year.
The company has reportedly chosenGoldman Sachs and JPMorgan to lead the deal, which could value the company at as much as $8 billion, according to Bloomberg .
SEE ALSO: Peloton is reportedly a step closer to an IPO that could value it at more than $8 billion. Here's how this high-tech fitness company compares to SoulCycle.
