Uber finds backer in Chinese search giant Baidu despite setback around the world

Uber Technologies has received much-needed positive news as Chinese search engine Baidu Inc is set to invest in the taxi-hailing app maker, a person familiar with the matter said on Friday.

State media outlet China National Radio reported the deal earlier this week.

The news comes amid a number of setbacks suffered by the US startup this week. Delhi has banned the company and ordered review of safety after the arrest of an Uber driver accused of rape while Thailand and Spain are among countries to have halted its services for regulatory reasons.

The size of Baidu's investment - and its valuation of Uber - are unknown, but the Chinese firm has scheduled a press conference to announce an investment into an unnamed US-based startup on December 17 in Beijing.

An Uber spokeswoman in Singapore did not respond to a request for comment.

Baidu became the latest Chinese Internet firm to take an interest in the flourishing market for transportation apps.

Uber's alliance with the company mirrors partnerships between dominant Chinese taxi-hailing apps Kuaidi Dache and Didi Dache, which have been backed by Baidu rivals Alibaba Group Holding and Tencent Holdings respectively.

Uber had said earlier this month it raised funding valuing the company at $40 billion, propelling it into the ranks of the world's most richly valued private companies.

(Reuters)