China's first legal taxi application was born

It is reported that as Shanghai launches a pilot program to bring online private car rental services into the mainstream economy, DDT is expected to become the first legal taxi service in Shanghai.

According to people familiar with the matter, another evidence that Dripping’s winning government’s favor is: China’s sovereign wealth fund “China Investment Corporation (CIC)” intends to invest in the form of its $2 billion financing. Chinese investment companies usually invest in projects that are considered strategic to the country.

Dripping quickly, the negotiations with the Shanghai government began in May this year. The first step in the new plan introduced in Shanghai is to allow all drivers to register on the same information registration platform used by traditional taxi drivers. Steven Wang, Dickey's chief strategy officer, said: "Derigent has reached a comprehensive cooperation agreement with the Shanghai Municipal Government. We will cooperate with the government and therefore have reason to believe that we will find a legal way of doing business."

Stephen-Wang also said that the proposed agreement involves sharing more driver and passenger information with the government, requiring all data servers to be located in China, sensitive traffic data must be uploaded to regulatory agencies, and not transmitted overseas. In addition, the company that signed the agreement will be required to hold an internet content provider license. Stephen Wang said: "We are working with the Shanghai Municipal Government to jointly find a comprehensive solution. The only one that meets all the conditions is the one who is fast."

At present, private rental cars are illegal in China, and local governments have consistently opposed the entry of Didi and Uber. However, the central government is well aware of the benefits of this service, which can include reducing traffic congestion and environmental pollution.

According to industry insiders, Dickey’s efforts to legalize Shanghai will not bring Uber to competitors. "The Uber is the only company that may encounter obstacles in its legalization because its servers are overseas," said Zhang Xu, a taxi expert at Analysys, a Beijing-based Internet consultancy.

Uber stated that there are no obstacles to meeting these conditions. "We believe that the Shanghai government will support Uber as a technology-driven Internet company to bring innovation to the city, as well as supporting our competitors." Uber also returned on Monday. Announced that the establishment of Uber China has been completed. Analysts said that Uber's move was designed to meet the government's relevant requirements.