Jakarta, CNBC Indonesia – Authority China’s cyber watchdog on Sunday (4/7) ordered ride-hailing service or online taxi Didi to be removed from app stores in China.
This is after the results of the cyber supervisor’s investigation found that the collection of Didi’s user data was a ‘serious violation’ of regulations in the Bamboo Curtain country. Previously, Didi Global had rejected accusations that they stored customer data and Chinese highway data.
Cyber watchdog is investigating Didi over “cyber security” issues and to prevent security risks to China’s national data. After the announcement of the investigation, Didi’s shares fell. This Chinese startup had a New York IPO worth US$ 4.4 billion.
What happened to Didi was also experienced by Alibaba and Meituan from the Chinese government’s harsh policies against the country’s technology giants. There are allegations that Chinese government authorities are afraid of their huge influence on consumers in China.
“After inspection and verification, the Didi Chuxing application was found to be in serious violation of regulations on the collection and use of personal information,” the Chinese cyber authority said in a statement. AFP, Sunday (4/7).
China’s cyber authority did not specify what national security risk Didi poses, but said new users were unable to register for the service during the investigation period.
The authorities have notified the online store to remove the Didi app and asked the company to fix the problem and effectively protect its users’ personal information.
Didi said users who have downloaded the app can continue to use it, and driver orders will not be affected. Didi promises to seriously make improvements and continue to protect user privacy and data security.
The Didi app claims to have over 15 million drivers and nearly 500 million users, and is often the easiest and fastest way to make calls in bustling Chinese cities.
Didi confirmed that since Saturday (3/7), the registration of new users has been suspended. Didi is the latest Chinese technology unicorn to be targeted by the authorities after Alibaba’s fintech arm, Ant, was forced to stop its record -breaking IPO in November 2020.
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