Didi Chuxing is popularly referred to as the “Uber” of China. Formerly called Didi Kuaidi, this Beijing-based ride-sharing company provides transportation services to 300 million people in 400 cities in the country. The services offered include private car and taxi hailing, DiDi Bus and Test Drive, DiDi Chauffeur, social ride sharing, car rentals and enterprise solutions through smartphone applications.
On a huge victory for Didi, the business recently beat Uber, as they were forced to sell the local business. The two businesses have been in a war for some time for market domination. The Chinese firm was able to beat their more-famous American rival.
Apple Invests $1 Billion in Didi Kuaidi
Apple Inc. (NASDAQ:AAPL) recently announced that they are investing $1 billion in the business. In exchange, Apple has got a board position in the business. That was, however, not disclosed in June when the investment decision was approved.
This news shows that Apple is very serious about the auto business in China. Now that Apple has thrown their weight behind Didi, the Chinese firm is sure to do even better. Didi Kuaidi is currently valued at about $35 billion.
Originally, according to the deal, Apple was not offered a board seat in the company. The American firm, according to reports, got the position only after regulatory filings.
The Didi Kuaidi Board Members
It was learned that Adrian Perica will be at the board of Didi. Adrian is the head of mergers and acquisitions at Apple. Formerly with Goldman Sachs, he has been with Apple (NASDAQ:AAPL) since 2009.
Didi’s CEO Cheng Wei, President Jean Liu, Lucy Peng of Alibaba, and Martin Lau of Tencent are the other board directors of the business. Interestingly, the CEO of Uber, Travis Kalanick has been an “observer” ever since Uber sold their Chinese interests to Didi. The deal was worth $35 billion.
The $1 billion investment will give Apple access to Didi’s expertise and data on autonomous and electric car technology. This will help them develop their own car product in the coming years. Bloomberg has reported that Didi, like Uber and Tesla Motors, is also working on self-driving cars. This is surely going to be a key focus area for many businesses in the next few years.
Didi Chuxing has thousands of cars and drivers in its ranks. Apple might also be able to test their future software products there.