Uber rival Didi Chuxing announce losses of almost £445 million in the first half of this year

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Chinese super-firm Didi Chuxing, a major global rival of ride-sharing giants Uber, announced losses of around £445 million in the first half of this year. In December Didi were valued at a staggering $56 billion, but with huge subsidiaries forked out to drivers and passengers, the SoftBank backed firm averages a "razor thin" margin of 1.6 percent of every ride, Reuters has said. In comparison, main rival Uber Technologies Inc. keeps on average 23 percent of each transaction, putting them in a much better financial position to push for an IPO during their target year of 2019. Didi has also faced a major public backlash after two women were killed by two of their drivers within a matter of months tarnishing their image. Regardless of any heavy financial losses, major firms still stockpiled Didi with some serious monetary investment last year, with a whopping $12 billion pumped into the company by the likes of Apple and Japan's SoftBank. The Didi Vs Uber battle will no doubt run on for years to come, but with such stiff competition, will either of the ride-sharing juggernauts ever make a healthy profit to make all their efforts and controversy worth it?

September 11, 2018 at 09:54AM https://ift.tt/2ufVjKI THESE POSTS ARE NOT OUR ENDORSEMENT