Last April, China fined Alibaba $2.8 billion, one of the country’s (and world’s) most important tech companies, after an antitrust investigation. Now, the Chinese regulator, the China Cyberspace Administration (CAC), has set its sights on Didi, a much larger type of Uber whose app has been removed from app stores.
CAC says the reason is that Didi was illegally collecting personal data from users. The highly popular app in China will have to make changes to comply with data protection regulations, although the strange thing is that this news comes a few days after Didi appeared on the New York Stock Exchange worth $74.5 billion.
In accordance with this cybersecurity law, CAC notified stores of the need to remove Didi app in China and required the company to strictly abide by the rules and correct the problem. When the app is pulled from stores, it will not be able to download it again in China until everything is cleared up, but it can continue to be used in other markets where it works and by those who have already installed it on their mobile phones.