This post was originally published on this site
A recent report by the Cyberspace Administration of China (CAC) stated that the company violated several laws and regulations in relation to users’ personal information. The report was primarily responsible for the shares’ decline.
Furthermore, China’s cyberspace regulators have been imposing tighter restrictions on data collection and data storage, and tightening rules for companies listed overseas or seeking to sell shares abroad, which is expected to continue affecting DIDI, among other China-based companies. In addition, the company has reported losses over the last three years. So, we think DIDI’s near-term prospects look uncertain.
