May 28, 2022

Chinese giant Didi Chixung closed operations in South Africa today, a year after launching in the country, marking its foray into the continent.

A Didi official confirmed that gaming-updates had been taken offline, but did not reveal the reason for the cutoff.

“We have made the difficult decision to end our operations in South Africa by April 8th. Our goal was to ensure a smooth transition for everyone and we would like to take this opportunity to thank our staff, drivers, riders and partners for their kindness and support for Didi,” said a Didi spokesperson.

Didi’s launch in South Africa last year was expected to create new competition for Uber and Bolt, the big taxi companies in the region and across Africa. However, the start was not as expected.

Didi indicated that his departure is expected to leave resources for more promising markets such as Egypt, where it was launched in the last quarter of 2021. Reports indicate that it is also expanding to Nigeria.

“We have reassessed where we can make the most positive impact in the short term and are focused on developing even greater opportunities in other existing markets,” said a spokesperson for gaming-updates.

Didi’s departure comes at a time when taxi drivers in South Africa are demanding regulation of the region due to exploitation and poor working conditions. Some of the drivers who recently went on strike cited low incomes due to rising fuel prices and “high commissions” charged by taxi companies.

With Didi gone, Uber, which launched in South Africa in 2013, is expanding rapidly, doubling its presence in more than 40 cities in the last year alone. Bolt, which came to South Africa in 2015, recently expanded its green footprint shortly after it launched a food delivery option in the country last year.

Leave a Reply

Your email address will not be published.