Meanwhile, Didi will be making an investment of $1 billion in Uber at a valuation of $68 billion.
“As an entrepreneur, I’ve learned that being successful is about listening to your head as well as following your heart,” Travis Kalanick, chief executive officer of Uber, wrote in a blog post
What happens next?
Uber will exit operations in China — a battle lost of some sort — but will still have a key stake in the biggest company there.
Both the companies, until recently, were spending heavily to gain market share in China. However, this was affecting the performance of the companies, as both entities were yet to turn profitable. In fact, Uber had lost more than $2 billion in the country, the report added.