Didi Contemplate Giving Up Information Management To Appease China: Experiences, World Information
Ride-hailing service Didi Global Inc is considering giving up control of its valuable data as part of efforts to resolve a Chinese regulatory investigation, Bloomberg News reported Friday, citing people familiar with the matter.
Days after Didi’s launch, China’s cyberspace regulator opened an investigation into the company, asking it to stop registering new users, citing national security and the public interest.
Didi, which was recently listed in New York after raising $ 4.4 billion in an initial public offering, has come up with proposals to appease the regulator, including letting a private third party manage its data, it said the report on Friday.
Regulators have also shown that the third party is state controlled, Bloomberg said, citing a source.
The company’s shares on the New York Stock Exchange rose about 5% before the opening bell. Didi did not immediately respond to Reuters’ request for comment.
Didi had denied a media report last month that it was considering going private to appease Chinese authorities and compensate for investor losses since listing in the US.