Didi ordered off China’s app stores by nation’s cyber regulator

Didi ordered off China's app stores by nation's cyber regulator
Didi is one of China's largest ride-hailing apps. Source: Getty Images
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Daily US Times: Just days after the Chinese tech giant Didi launched its shares in New York, the ride-hailing app has been ordered off China’s app stores.

The cyberspace regulator of China said Didi had violated laws on collecting users’ personal data and ordered its removal.

Didi said in a statement that the app would continue to operate, but said it had stopped registering new users.

Recently, China has moved to tighten up governance of the country’s large tech firms.

Didi Chuxing, a platform similar to Lyft or Uber, arranges more than 20 million rides in China every day, on average.

Founded in 2012, the ride-hailing service is particularly popular in China’s crowded cities. But it has expanded beyond China into 15 other markets.

Last week the Chinese tech giant raised $4.4bn through an initial public offering in New York, making it the largest share launch since Chinese online retailer Alibaba’s in 2014.

Just a day after shares began trading in New York, the Cyberspace Administration of China (CAC) announced that it was investigating Didi to protect “national security and the public interest”, prompting the shares to drop 5.3%.

The company gathers vast amounts of real-time mobility data every day. It uses some of the data for traffic analysis and autonomous driving technologies.

“After checks and verification, the Didi Chuxing app was found to be in serious violation of regulations in its collection and use of personal information,” the CAC said.

This investigation follows regulatory crackdowns on other tech firms, from Alibaba to food delivery service Meituan.

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