Peter Stern, the founder of Apple Fitness+, has been appointed as the next CEO of Peloton.

• Peloton has tapped Ford executive Peter Stern to be its next CEO.
• The longtime automotive executive was last overseeing Ford's subscription services.

On Thursday, it was announced that Peter Stern, a executive and the cofounder of Fitness+, has been appointed as the next CEO and president of the company.

As the president of Ford Integrated Services, Stern primarily manages the company's subscription services, including BlueCruise, Pro Intelligence, connectivity, and security. Additionally, he leads the company's digital product team.

On January 1, Ford's CEO will depart and assume the position of CEO at Peloton. Karen Boone will continue as interim co-CEO until the end of the year, while Chris Bruzzo will step down from his co-CEO role on Friday. Both Boone and Bruzzo will remain on Peloton's board.

Peloton's third CEO, Stern, was announced along with the company's fiscal first-quarter earnings report. Premarket trading saw shares of the company increase by 8%.

Peloton's board chair, Jay Hoag, stated in a news release that Peter is a seasoned strategist with a proven track record of driving sustainable growth through innovation. He has expertise in scaling differentiated technology-oriented platforms and a deep understanding of the health and wellness sector, making him uniquely qualified to serve as Peloton's next CEO.

"Additionally, Peter embodies Peloton's core values, such as acting quickly, empowering teams of talented individuals, and collaborating effectively."

Six months after the departure of Barry McCarthy, Peloton announced a new executive.

John Foley was succeeded by McCarthy, who revived Peloton from near bankruptcy through significant cost-cutting measures and a shift in strategy.

Peloton's decision to hire Stern signifies its commitment to emphasizing its primary value proposition to investors: its high-margin, recurring subscription revenue.

Stern's experience in managing Ford's subscription business could aid in expanding and maintaining Peloton's connected fitness and app subscribers.

Peloton announced that it is seeking a new CEO who is passionate about Peloton's products, understands the company's challenges and opportunities, and appreciates its mission to help people achieve their fitness goals.

Since 2016, Stern has been a member of Peloton and has spent over 20 years working at the intersection of hardware, software, content, and services at Ford, Apple, and Time Warner Cable.

Peloton stated that as the cofounder of Apple Fitness+, he played a crucial role in expanding its subscription base into the millions and has expertise in managing complex, subscription-based businesses.

The company mentioned that it was also searching for a product innovator and strategist, and highlighted the 30-plus patents Stern has obtained throughout his career, including an online media content patent.

"Peloton is my dream job because I want to help millions of people lead healthier, happier lives. With its focus on people, products, and passionate members, Peloton offers me the chance to achieve my goal."

This story is developing. Please check back for updates.