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DiDi Warns On Revenue As China Orders App Removal From App Stores

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DiDi, China's largest ride-hailing service, has been banned by Chinese regulator from app stores in the country for allegedly violating laws by illegally collecting and using personal information. In response, the company said it expects that the app takedown may have an adverse impact on its revenue in China.

DiDi said it maintains normal operations globally apart from the suspension of new user registration in China that was previously announced on July 2 as well as the latest app takedown in China.

The Cyberspace Administration of China or CAC notified app stores in China to take down the "DiDi Chuxing" app after it was reported and confirmed that the DiDi app had the problem of collecting personal information in violation of relevant PRC laws and regulations.

In a statement, the mobility technology platform, which has which has around 377 million active users in China, noted that CAC required the company to strictly comply with relevant laws and regulations, follow the relevant standards set by the PRC government authorities, and rectify the problem to ensure the security of users' personal information.

The company, which recently went public in the United States, said once the "DiDi Chuxing" app is taken down from app stores in China, the app can no longer be downloaded in China. However, existing users who had previously downloaded and installed the app on their phones prior to the takedown may continue using it.

Didi said, "The Company will strive to rectify any problems, improve its risk prevention awareness and technological capabilities, protect users' privacy and data security, and continue to provide secure and convenient services to its users."

Didi went public on the New York Stock Exchange on June 30 in the biggest US share offering in recent times.

Meanwhile, two days after the company got listed in the U.S., Chinese cybersecurity watchdogs filed a security probe against the company related to national security and public interest. The company then stopped new user registration as the CAC investigation was going on.

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