<p>China's cyber watchdog said Friday it is investigating homegrown ride-hailing giant Didi Chuxing over "cybersecurity" concerns, a day after it raised more than $4.4 billion in a bumper New York IPO.</p>.<p>The announcement comes as China's tech giants -- including Alibaba, Tencent and Meituan -- have been swept up in a regulatory crackdown by government authorities fearful of their supersized influence on consumers.</p>.<p>"To prevent security risks to national data, safeguard national security and protect the public interest... the Cybersecurity Investigation Office is... carrying out a cybersecurity investigation on Didi," the Cyberspace Administration of China said in an online statement.</p>.<p><strong>Read more: <a href="https://www.deccanherald.com/business/business-news/chinas-didi-to-be-added-to-sp-dow-jones-indexes-on-july-12-1003906.html" target="_blank">China's Didi to be added to S&P Dow Jones' indexes on July 12 </a></strong></p>.<p>It did not elaborate on what national security risks were posed by Didi, but said that new users cannot register for the service during the investigation period.</p>.<p>Didi told Chinese media it would "actively cooperate" with the investigation.</p>.<p>The app -- which claims to have more than 15 million drivers and nearly 500 million users -- is often the easiest and quickest way to call a ride in crowded Chinese cities.</p>.<p>Founded in 2012 by Cheng Wei, a former executive at Chinese e-commerce giant Alibaba, the app has dominated the local ride-hailing market since it won a costly turf war against US titan Uber in 2016.</p>.<p>Didi is the latest Chinese tech unicorn to be targeted by authorities after Alibaba's fintech arm Ant was forced to halt its record-breaking IPO last November as regulators grew concerned with monopolistic practices in the sector.</p>.<p>Alibaba was hit with a record $2.8 billion anti-trust fine in April, while 10 other internet firms -- including its competitors Tencent and Didi -- were fined 500,000 yuan each for anti-trust offences in the same month.</p>.<p>By the close of US trading Thursday, Didi had a market cap of more than $68 billion at $16 per share, well over the $14 IPO price.</p>
<p>China's cyber watchdog said Friday it is investigating homegrown ride-hailing giant Didi Chuxing over "cybersecurity" concerns, a day after it raised more than $4.4 billion in a bumper New York IPO.</p>.<p>The announcement comes as China's tech giants -- including Alibaba, Tencent and Meituan -- have been swept up in a regulatory crackdown by government authorities fearful of their supersized influence on consumers.</p>.<p>"To prevent security risks to national data, safeguard national security and protect the public interest... the Cybersecurity Investigation Office is... carrying out a cybersecurity investigation on Didi," the Cyberspace Administration of China said in an online statement.</p>.<p><strong>Read more: <a href="https://www.deccanherald.com/business/business-news/chinas-didi-to-be-added-to-sp-dow-jones-indexes-on-july-12-1003906.html" target="_blank">China's Didi to be added to S&P Dow Jones' indexes on July 12 </a></strong></p>.<p>It did not elaborate on what national security risks were posed by Didi, but said that new users cannot register for the service during the investigation period.</p>.<p>Didi told Chinese media it would "actively cooperate" with the investigation.</p>.<p>The app -- which claims to have more than 15 million drivers and nearly 500 million users -- is often the easiest and quickest way to call a ride in crowded Chinese cities.</p>.<p>Founded in 2012 by Cheng Wei, a former executive at Chinese e-commerce giant Alibaba, the app has dominated the local ride-hailing market since it won a costly turf war against US titan Uber in 2016.</p>.<p>Didi is the latest Chinese tech unicorn to be targeted by authorities after Alibaba's fintech arm Ant was forced to halt its record-breaking IPO last November as regulators grew concerned with monopolistic practices in the sector.</p>.<p>Alibaba was hit with a record $2.8 billion anti-trust fine in April, while 10 other internet firms -- including its competitors Tencent and Didi -- were fined 500,000 yuan each for anti-trust offences in the same month.</p>.<p>By the close of US trading Thursday, Didi had a market cap of more than $68 billion at $16 per share, well over the $14 IPO price.</p>