As alleged by Reuters, this signals the fact that the two-year regulatory crackdown on the technology sector is coming to an end. Following the start of its regulatory troubles in 2021, Didi has been waiting to receive authorities’ approval to resume new user registrations and downloads for its 25 banned apps in China looking to resume normal business.
The ban lift on Didi’s apps comes as Chinese policymakers are looking to restore private sector confidence and count on the technology industry to help stimulate economic activity, following the effects of the COVID-19 pandemic. China’s central bank is set to support private firms as part of steps to support the economy, while ‘easing a crackdown’ on tech companies, as advised by People’s Bank of China officials.
The restoration of the apps would signal Didi’s completion of its one-year and a half-long regulatory-driven rehabilitation and follows the USD 1.2 billion fine imposed on the company by the country’s cyber watchdog, Cyberspace Administration of China (CAC), in July 2022.
Launched in Beijing in 2012 and backed by investors of the likes of Alibaba, Tencent and SoftBank Group, Didi’s regulatory issues followed their 2021 US-stock listing that took place against the regulator’s will.
As a result of this move, Didi was ordered to have its 25 mobile apps taken down from app stores, new users’ registration suspended, and was also fined over data-security breaches. The company was also instructed to end its journey as a New York Stock Exchange-traded company.
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