Chinese-based multinational ride-hailing company DiDi Chuxing will close down its South African operations tomorrow, exactly one year since it launched locally.ride-hailing firm in the world after Uber, DiDi established its local offices in April last year, starting with a pilot project in Gqeberha, Eastern Cape. Several weeks later, it established a presence in Cape Town, followed by the opening of its Gauteng business.
ITWeb this week learnt from DiDi driver partners and two e-hailing industry leaders that the company had left them confused when it sent SMSes and app notifications to all driver partners and vehicle operators in the last week of March, informing them the service will no longer be available in their city.While this came as a shock to some, many people were not surprised, they say.
“On the other hand, Bolt and Uber prices are charged below running costs, but riders are subsidised through continuous discounts that DiDi could not keep up with in the long run.” In an interview with ITWeb, Vhatuka Mbelengwa, national e-hailing spokesperson for the Private Public Transport Association of South Africa, said he is aware of DiDi closing its operations, noting it as a loss to the local industry.
A once hopeful DiDi rider told ITWeb she was initially excited when she heard DiDi was piloting its service in her hometown, Gqeberha.
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