A fine of one billion and the end of the indictment? This is the scenario that the Wall Street Journal foresees regarding Didi, the Chinese VTC platform, which the local regulator is suing for data protection issues.
Beijing intensifies its attacks on the powerful internet companies of 2020, fined for competition and personal data issues, which the authorities would like to access.
Despite the Beijing-Washington rivalry, the Chinese Didi, who dominates the car reservation market in his country, had held a fundraiser in the United States in June 2021. Furious, the Chinese authorities had immediately launched an administrative investigation. against the company, in relation to its data collection.
The investigation against Chinese Uber is expected to result in a fine of more than a billion dollars (976 million euros), or 4% of its 2021 turnover. Once the fine is paid, the Didi app could return. to be accessible to new users. and Didi could be listed in Hong Kong.
Last year, following the administrative investigation, the Chinese authorities banned the app from being downloaded, but Didi’s faithful were still able to use it. Under pressure from Beijing, Didi also had to announce its hasty withdrawal from the New York Stock Exchange in December, after only five months of listing.
Balance of any account
But the fine is widely seen as a positive sign for the tech giants, which have been pummeled by Beijing for nearly two years. On Wednesday morning, shares of e-commerce champion Alibaba gained more than 4% on the Hong Kong Stock Exchange. Internet and video game giant Tencent took more than 2.5%.
In a context of intense tensions with the United States, China has promised to reduce the candles of its technological giants, but it seems to be loosening the reins after a very difficult period, in which the giant Alibaba had especially seen its boss, Jack Ma , be removed from management by the authorities. Some large companies must now obtain special authorization, issued by China’s internet regulator, before listing abroad.
Subject to increased surveillance and restrictions in the United States, many Chinese firms are now opting for a second listing on the stock market but in their country, such as Alibaba or search engine Baidu.
Source: BFM TV
