China Is Tightening the Screws on Big Tech

China Is Tightening the Screws on Big Tech
The ride-hailing app Didi and other Chinese apps on a phone in Beijing, July 5, 2021 (AP photo by Ng Han Guan).

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New reports this week have revealed the developments that led to the Chinese internet regulator’s investigation into ride-hailing giant Didi Chuxing, which has triggered a sell-off of the group’s shares and had a ripple effect on the Chinese tech industry.

Investors were caught by surprise when the Cyberspace Administration of China, or CAC, announced an investigation into Didi over national security concerns, days after it went public in the United States. The group denied any prior knowledge of the probe, but sources familiar with the matter have pointed at a number of missteps by the company that led to its censure. 

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