March 20 2024- Ritu Narayan, a former tech product manager, faced the challenge of unreliable transportation for her children, prompting her to create Zum, an AI-backed electric school bus service, in 2015. Initially resembling a self-funded Uber for kids, Zum quickly gained popularity among Bay Area parents. However, in 2019, Narayan faced a pivotal decision when local schools proposed integrating Zum as a privatized school bus fleet.
She confronted the choice between sticking with her original vision or transforming Zum’s services to compete with established bus companies, potentially risking the collapse of her company. Despite the uncertainty, Narayan opted to pivot, resulting in Zum’s current valuation of $1.3 billion. The startup has secured contracts worth over $1.5 billion with thousands of private and public schools across several states.
