China’s cyberspace watchdog said on Monday it is investigating online recruiter Zhipin, and truck-hailing apps Huochebang and Yunmanman, ramping up a crackdown on the mainland’s tech companies amid tightened regulations on data security.
The announcement comes a day after the Cyberspace Administration of China (CAC) ordered a suspension of app downloads for Chinese ride-hailing giant Didi Global, which went public in a US listing last month.
Full Truck Alliance, the result of a merger between Huochebang and Yunmanman, and Kanzhun, the owner of Zhipin, went public in the US stock market last month.
The three app-based businesses should halt new user registrations during the review, the CAC said in a statement, adding that the investigations are to “prevent national data security risks and safeguard national security”.
The cyberspace agency did not offer further details about the investigation into the three apps, but cited China’s national security law and cybersecurity law.
Chinese regulators have also recently tightened scrutiny of Internet platform companies, including Alibaba Group and Meituan, for anti-competitive practices.
Full Truck Alliance, often dubbed “Uber for trucks”, has over 10 million registered truck drivers and more than 5 million truck owners on its platform.
Zhipin, which connects job seekers and employers, is China’s biggest online recruiter with 24.9 million monthly active users in the first quarter of 2021, Kanzhun said in its prospectus.