After introducing the in-app panic button it seems things are getting more complicated for Uber, China’s biggest taxi-hailing services are joining forces.
According to a state-run publication, Kuaidi Dache and Didi Dache have merged into a single powerful entity that’s worth around $6 billion but they will continue operating as separate brands.
These two used to be bitter rivals but they must have decided that the enemy of my enemy is my friend and thus it was bad to continue fighting Uber that has deep pockets ($40 billion).
Combined the two apps are used by 95% of all taxi-hailing customers in China, around 150 million people.
It is true that Uber recently got a $600 million investment from the Chinese search engine Baidu, we must keep in mind that both Kuaidi Dache and Didi Dach are backed by Alibaba and Tencent which are both powerful companies in the region as well.