Peloton Technology

Peloton deal doubles as trade war protection

Illustration: Sarah Grillo/Axios

Peloton on Tuesday disclosed that it paid nearly $50 million to purchase Tonic Fitness, one of its two bike manufacturing partners in Taiwan.

Why it matters: The deal is officially about helping Peloton better control its supply chain, but CEO John Foley tells Axios it also could help the company protect itself in case of future trade tensions.