Chinese giant Didi Global has suspended its launch plans in Britain and continental Europe, The Telegraph reported on Monday, amid a domestic regulatory backlash over data privacy.
Employees working on the planned launches were told they would face possible redundancy and Didi stopped hiring in Britain, withdrawing launch plans for at least a year, according to the report.
“We continue to explore additional new markets, making contact with the relevant stakeholders in each and thinking about when to introduce our services,” said a spokesperson for Didi, not mentioning plans to launch in the UK.
“As soon as we have more news about additional new markets, we look forward to sharing.”
Chinese companies have been caught in the grip of growing US scrutiny on the one hand and domestic regulatory crackdown on the country’s massive internet sector.
The move has shaken tech giants in the country, and Didi is under a cybersecurity review, while China reformulates its privacy and data security policy to ensure secure storage of user data.
Didi, which listed its shares in New York in June after raising $4.4 billion (about INR 32,610 crores) in an initial public offering, is looking to expand its international business with recent launches in South Africa, Ecuador and Kazakhstan.
© Thomson Reuters 2021