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Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

bloomberg.com

11–20 of 48 posts

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#11
post #7
post #4

The article is rather light on details on what Didi actually did better, but from using Uber as a foreigner in China, I could see significant problems in Uber's product execution: 1. The Android app continues to use Google Maps which is Great Firewall blocked, meaning I had to use a VPN to load uncached tiles. 2. Uber in turn IP blocks EC2, preventing me from using my main VPN while in app. 3. Entities on the map are…

Why does Uber block EC2?

This is pretty standard, we block all "cloud" ranges for end-user-facing things (antifraud, etc)

Bots on EC2 scraping and bruteforcing and whatnot, free tier being abused for free proxies

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#12
post #4

The article is rather light on details on what Didi actually did better, but from using Uber as a foreigner in China, I could see significant problems in Uber's product execution: 1. The Android app continues to use Google Maps which is Great Firewall blocked, meaning I had to use a VPN to load uncached tiles. 2. Uber in turn IP blocks EC2, preventing me from using my main VPN while in app. 3. Entities on the map are…

#1 - was this because you were still using the US store downloaded app? I highly doubt they would release Uber to Chinese people with a non-working maps.

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#13
post #6

I completely understand Chinese (or any other country) entrepreneurs, why let some foreign company come in and take all the money (ultimately a lot of it outside the country) when you can do the same internally. The idea is not a rocket science, all about execution. And locals know the specifics of China more than a bunch of silicon valley grads. Cheers to these guys for making it work in China. And Good luck to Uber…

The question becomes what the consequences of that should be. Since you're arguing in favor of elaborate protectionism, that becomes a central issue.

Should Xiaomi be artificially blocked from selling smart phones in the US? Should all Huawei products be blocked? Should the policy of the US Government be to directly assist Apple versus Samsung (or any other competitor) in the US market? Should the US begin directly subsidizing immense steel production, using the US Dollar reserve currency to intentionally bankrupt China's steel producers via Fed printing to pay for it all? To what extent should the US be using the US Dollar to destroy foreign corporations to gain a competitive advantage? Or better yet, using the NSA to do so. How far should protectionism go?

Should the US use the dollar to start massive state enterprises, printing dollars to pay for it all, to buy up foreign corporations. For example, maybe the US should create a massive potash conglomerate from a state owned enterprise backed by the Fed directly. Then use some USD printing to merge up with other big potash players around the world, and use political leverage and threats to force other nations into allowing those mergers. Japan for example has been buying up its own stock market, maybe the US should go a step further than that. If China wants to compete using big state owned enterprises, why shouldn't the US respond in kind, and then some? China also directly funds non-state owned enterprises through various banking channels. Maybe the Fed should be providing 0% interest loans to US corporations to advantage them to acquire specific major foreign competitors for essentially no cost.

Should the Fed provide Apple, Microsoft, Amazon, Google, etc. with a nearly unlimited budget to begin manufacturing all of their hardware & components in the US, along with perpetual subsidies to keep that production local? Might as well take advantage of available leverage.

If not, then why is it ok for China's government to set up intentional barriers to entry or to encourage rather drastic dumping policies in several big industries? Should foreign companies not be allowed to buy majority ownership positions in domestic US corporations? Should the US Government deny all attempts by foreign corporations to buy domestic corporations? Why is it considered ok for China to directly advantage and subsidize so many massive state enterprises, if the US and other nations aren't supposed to behave that way?

Should the US Government look the other way, while a major US entrepreneur steals tens of billions of dollars from a Chinese company, as Jack Ma did with Yahoo and AliPay? Is that the kind of protectionist playing field that is desirable?

Facebook, Twitter, Google and numerous other US companies have been directly blocked from competing in China in all sorts of ways. Which companies of China's should the US be blocking in response to that?

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#14

For those crying wolf about protectionism... In general, I think most nations should have more closed door policies like China. My country (which won't be named) does not have a startup ecosystem anymore and we have become a consumption ground for one silicon valley startup after another. Instead of fostering local startups and paying some money (since many bootstrap and do not have big pockets), all the companies ju…

> We had a local chat start up but slack ate their lunch. Everyone here just uses the slack free tier. How do you compete against free? The point of division of labor (aka how civilization got built) is that it's not _necessary_ to spend time re-doing the same thing others are doing. Slack is giving you something for free that you don't _have_ to spend time or money building now. Now you have X engineers free to work…

The problem is the world is divided into factions, and China is a massive country that just happens to be a separate faction, which means they can't divide labor with the US, they have to compete head on, or else they won't get a fare share of the pie.

US had a head start on development, which means these two factions didn't have a level playing ground to compete for a piece of the pie. Therefore China must protect to get back on level playing ground.

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#15
post #6

I completely understand Chinese (or any other country) entrepreneurs, why let some foreign company come in and take all the money (ultimately a lot of it outside the country) when you can do the same internally. The idea is not a rocket science, all about execution. And locals know the specifics of China more than a bunch of silicon valley grads. Cheers to these guys for making it work in China. And Good luck to Uber…

The question becomes what the consequences of that should be. Since you're arguing in favor of elaborate protectionism, that becomes a central issue. Should Xiaomi be artificially blocked from selling smart phones in the US? Should all Huawei products be blocked? Should the policy of the US Government be to directly assist Apple versus Samsung (or any other competitor) in the US market? Should the US begin directly s…

Because Uber invests most of their money on US soil, on US engineers, that go back into the US economy.

They just want to release an app that harvests money from Chinese consumers.

So if China can protect a local company that will clone uber, but with the difference of investing in local human capital and infrastructure, why not take that opportunity?

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#16
post #6

I completely understand Chinese (or any other country) entrepreneurs, why let some foreign company come in and take all the money (ultimately a lot of it outside the country) when you can do the same internally. The idea is not a rocket science, all about execution. And locals know the specifics of China more than a bunch of silicon valley grads. Cheers to these guys for making it work in China. And Good luck to Uber…

> why let some foreign company come in and take all the money (ultimately a lot of it outside the country) when you can do the same internally.

Because those engineers and entrepreneurs could have spent their time producing something globally new and innovative instead of creating an Uber clone. Then they could have sold that new thing to the world and everyone (global consumers and the aforementioned Chinese) would be better off than the status quo.

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#17

Earlier quoted context omitted.

> We had a local chat start up but slack ate their lunch. Everyone here just uses the slack free tier. How do you compete against free? The point of division of labor (aka how civilization got built) is that it's not _necessary_ to spend time re-doing the same thing others are doing. Slack is giving you something for free that you don't _have_ to spend time or money building now. Now you have X engineers free to work…

The problem is the world is divided into factions, and China is a massive country that just happens to be a separate faction, which means they can't divide labor with the US, they have to compete head on, or else they won't get a fare share of the pie. US had a head start on development, which means these two factions didn't have a level playing ground to compete for a piece of the pie. Therefore China must protect t…

The pie is not a fixed size. The Chinese could produce something new and innovative instead of clones and sell those to the US, making the pie bigger for everyone.

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#19
Giving an American company where your people are, where they are going and with whom they are likely meeting and traveling was a non-starter before we confirmed every Tom, Dick and Harry at a three-letter agency has the ability to stalk their - and anybody else's - kids and ex girlfriends.

Re: Uber Slayer: How China’s Didi Beat the Ride-Hailing Superpower

#20
post #3

This is just a Bloomberg PR piece. China has a plan for the internet: Don't let outsiders control critical IT infrastructure / personal data. > It was widely suggested in press accounts that the Chinese government helped Didi in its battle against Uber. Cheng rejects that, noting that as the largest ride-hailing company, Didi had to shoulder most of the regulatory burden and paid tens of millions of yuan to cover dri…

I agree, to that extent, I really wish Bloomberg or Business Insider articles weren't posted on HN. They often are fluff and don't understand the details, and thus just create unneeded noise on HN.
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