Didi Chuxing is a giant in the ride hailing business in China. It has decided to expand its business by investing in Careem, the market leader in Middle East and Pakistan. The basic idea seems to be to push Uber further back in these markets.

Uber is a generic term in many countries where it leads the market. Sadly Careem did not let that happen for Uber in the Middle East and Pakistan. Cheaper fares and a bigger fleet of cars is what always made Careem stand out. As for the marketing, Careem is years ahead of Uber in that when it comes to Pakistan.

This investment by Didi is mainly about Uber. Didi has previously invested on different rivals of Uber to make them strong against Uber in their respective markets. They did not hold back this time when going ahead with their investment.

The amount invested is unknown as both organizations refused to give a statement on that but it was made clear by Didi that the plan is to strengthen Careem in Middle East and make it bigger and better than the competition.

Careem was founded 5 years ago and it has already grown its operations to 80 cities in different countries including Pakistan, Turkey, Morocco, Jordan, Saudi Arabia, Egypt and Lebanon. Its user base exceeds 12 million. It is ahead of Uber in Pakistan and a strong second in other countries.

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Didi on the other hand covers over 1000 cities in the world. Catering the needs of a large population. Another thing that Didi does is to ensure that Uber takes a blow with every step Didi takes forward. Recent past has not been all rainbows and butterflies for Uber. It has had employee and driver protests as well as executive departures.

The collaboration of these giants would be no lesser of a setback for Uber as Careem is getting bigger and better each day that is alarming for the category leader Uber.