Chinese ride-hailing giant Didi’s troubles are a golden opportunity for its rivals
Chinese ride-hailing giant Didi accounts for around 90% of car bookings in China. But matching the stunning pace at which a regulatory storm suddenly rained down on the recently listed tech firm, its rivals are moving quickly to take advantage of the winds blowing in their favor.
Days after Didi raised $4.4 billion in its US IPO on June 30, the company became the target of cybersecurity probes by Chinese regulators, who accused the firm of violating rules dealing with the gathering and use of personal information. The company’s main app and another 25 apps linked to it have also been removed from app stores in China by regulators. While existing users can still use Didi’s services, it’s not allowed to sign up any new users till the reviews are completed.
That leaves a remarkable opening for other firms.
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