(Vision China Group via Getty Images/Vision China Group via Getty Images)
- A few days after Didi’s New York IPO, Chinese regulators suspended the Didi app.
- The Cyberspace Administration of China accused the company of “serious violations” of the collection and use of personal data.
- The company has stated that it will comply with the ban and make the necessary changes.
- For more stories, please visit Business Insider.
China banned app stores from offering Didi apps on Sunday, saying the ride-hailing company has been illegally collecting and using users’ personal data.
There’s something coming A few days after the company started trading On the New York Stock Exchange. China is increasingly suppressed Large-scale technology on issues ranging from anti-competitive behavior to privacy and security. Last week, its cyberspace agency said it had launched an investigation into Didi to protect the safety of citizens and national security.
China Cyberspace Administration said on Sunday On its website The investigation found that Didi APP had “serious violations of laws and regulations” in the collection and use of personal information. The app store was notified to delete Didi and “strictly comply with legal requirements.” The statement did not specify the type of information allegedly illegally collected or used.
Didi said in a statement Statement on Weibo It will comply and make the necessary changes. The statement stated that the registration of new users has been suspended and the application “will be removed for rectification in strict accordance with the requirements of relevant departments.”
The statement stated that users who have downloaded the Didi App can use it normally, and passenger travel and driver orders will not be affected.
Didi is the world’s second-largest online car-hailing application by market value, with a valuation of approximately US$86 billion. Uber is currently valued at approximately 93 billion U.S. dollars (1.3 trillion rand), while Lyft is valued at 20 billion U.S. dollars (285 billion rand).
Didi shares IPO soars 28% On Wednesday in New York. The company’s debut is the second largest Chinese company after e-commerce giant Alibaba’s 2014 IPO.
Didi has attracted many well-known investors including Apple. Investment of 1 billion US dollars (R 14.2 billion) Ride company in 2016. At the same time, SoftBank Vision Fund holds 21.5% of Didi’s shares, while Uber and Tencent hold 12.8% and 6.8% of the company’s shares, respectively. According to Bloomberg News.