Just weeks after Peloton pulled its treadmills from the market, it rolled out a new safety feature on its Tread+ that locks the device after 45 seconds of inactivity outside a class or after a user puts it to sleep.

Peloton's treadmills are associated with more than 70 reported injuries and one child death. In early May, the company voluntarily recalled its treadmills after facing pressure from the U.S. Consumer Product Safety Commission. At the time of the announcement, Peloton offered to give users a full refund for the product or assist users in relocating the device to a new location in their homes that couldn't be accessed by children.

At the time of the recall, the company foreshadowed this latest announcement.

"Regardless of whether you choose to return the product for a refund or request that it be moved to another room, we are installing software updates on all Tread+ units that will automatically lock the Tread+ after each use.

"In addition, to prevent unauthorized access, the owner of the Tread+ must create a 4-digit passcode that will be required to unlock the Tread+. This unique passcode should not be shared with anyone who should not use the Tread+, including persons under the age of 16 or others who cannot safely operate the Tread+," the company wrote in its May 5^th recall announcement.

The new technology will be part of the latest software update. Users are required to activate the Tread Lock and set a passcode on the technology in order to unlock the belt.

The belt will be locked if a user hasn't touched the screen for 45 seconds, their speed is 0 mph, or the incline hasn't been adjusted for at least 45 seconds and they are not in class. Users who forget their pin are able to reset the code.

WHY IT MATTERS

After a slew of injuries and one death, the U.S. Consumer Product Safety Commission (CPSC), warned users about the potential dangers of this technology.

"CPSC staff believes the Peloton Tread+ poses serious risks to children for abrasions, fractures, and death. In light of multiple reports of children becoming entrapped, pinned, and pulled under the rear roller of the product, CPSC urges consumers with children at home to stop using the product immediately," the CPSC wrote in a statement in April.

The company is now looking to remedy some of these safety concerns with new software updates.

THE LARGER TREND

In 2019, Peloton went public, with shares priced at $29. The at-home exercise tools saw a boom during the COVID-19 pandemic. Peloton was a beneficiary of this surge. In its Q3 earnings call the company announced that it beat its third-quarter revenue expectation by $140 million.

However, at the time of the earnings call, company CEO John Foley said he anticipates the recall to cost the company $165 million.

The Peloton stock has taken a hit since safety concerns surfaced in early spring. As of May 20, the stock is currently trading near the $99 per share mark. This is down from its January high of $167 per share.