Join Telegram Channel

A $ 1 billion fine for China’s Didi could end a year of mobility giant problems-TechCrunch

A $ 1 billion fine for China’s Didi could end a year of mobility giant problems-TechCrunch

Admin | Post Wednesday, 20 July 2022 - 11:47 AM | 108

After a year of regulatory overhaul, Giant Diddy, who calls for a Chinese vehicle, faces a fine of more than RMB 8 billion ($ 1.28 billion) from state authorities. The Wall Street Journal When Reuters report.

The company did not immediately respond to requests for comment. In addition to fines, Didi will reportly allow Didi to restore the app to its domestic app store and proceed with plans to list its shares on the Hong Kong Stock Exchange.

If this move is realized, it could end the year?s turmoil in Didi, backed by Softbank, which was once celebrated as a ride-sharing darling in China.

The fines are not a little, accounting for about 4.7% of Diddy. 174 billion yuan Revenues increased last year, but authorities show who is in power and read Winwin that Diddy is under more scrutiny but will gradually return to business as usual. I can.

What happened to Didi?

Last July, Chinese government Start data security probe The company moved to Diddy just days after raising $ 4 billion from its first sale in New York. Regulators also yanked apps from Chinese app stores for ?illegal collection of user data.?

Neither Didi nor the regulatory agency elaborated on what was ?illegal,? but all media coverage and notes viewed by TechCrunch were pointed out. The company could not guarantee Beijing that data practices were secure Before listing in New York, you need to share your data with US regulatory agencies.

At that time, Diddy was China?s largest mobility platform, with over 500 million active users annually. It gained access to a set of geopositional data that could be considered confidential because the law has confirmed its real name in the country.

Diddy begins delisting from the New York Stock Exchange During December And by May The contract was concluded.. Now I?m looking at Hong Kong. Hong Kong has recently attracted numerous secondary listings by Chinese tech giants trading in the United States., Baidu, to name a few, because of growing tensions between China and the United States.

In recent months, the United States has added dozens of Chinese technology companies, including: Microblogging giant WeiboA watchlist of companies that may be delisted if they do not comply with the Securities and Exchange Commission?s audit requirements.

It?s unclear exactly how Didi has improved its data security framework, but its experience provides guidance to other domestic data-intensive tech companies seeking public investors outside mainland China. To do. Robotaxi?s, one of the most valuable startups in China, Reportedly Faced with similar cross-border data challenges, we put the SPAC program in the United States on hold.