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DiDi kept collecting data after regulators told it to stop — China fined it $1.2B

DiDi scraped 107M facial-recognition records and 12M photo-album screenshots without consent. China's regulator fined it ¥8.026B.

DiDi Global · 2022-07-21

What happened

China's Cyberspace Administration opened a security review of DiDi in July 2021, days after the ride-hailing company listed on the New York Stock Exchange without first clearing the review it had been told to seek. Regulators pulled its main app from domestic app stores the same week and barred it from registering new users for more than a year while investigators combed its systems.

The review found DiDi had committed 16 categories of violation stretching back to June 2015: it collected 107 million facial-recognition records, 53.5 million age records, 1.4 million records describing riders' family relationships, and 11.96 million screenshots pulled from users' photo albums without a business reason to have any of it. It had also scraped 8.32 billion entries from drivers' and riders' phone clipboards and installed-app lists — data with no bearing on matching a ride.

On 21 July 2022 the regulator fined DiDi ¥8.026 billion (about $1.2 billion) under China's data security and personal information protection laws. The CAC's own statement described the company as having repeatedly evaded supervision rather than correcting course when first warned.

Why it happened

  • DiDi's app had collected far more personal data than its ride-matching function required, for years, before any regulator intervened.
  • It proceeded with a US listing while a security review it had been asked to complete was still open, escalating scrutiny rather than avoiding it.
  • Once flagged, the company continued the same collection practices rather than narrowing them, which is what the 16 violation categories describe.
  • Ride-matching does not require facial recognition, clipboard contents or family-relationship data.
What it cost¥8.026B ($1.2B) fine; app pulled from stores for over a yearcostly

The lesson

Data collected because a system makes it easy to collect, not because a service needs it, becomes a liability the moment anyone audits the system.

Sources

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