Even though Wang Rui has stated openly that YiDao is still operating normally as usual, several consumers have complained to SinaTech about having trouble hailing a cab via YiDao’s app and that their money in the account is not usable. A YiDao user revealed that YiDao has been responding slow to cash withdrawal and user complaint, and for that many drivers are keeping YiDao’s platform on hold.

　　LeEco’s strategic investment and takeover didn’t do much good for YiDao either. The company only replaced YiDao’s management team with LeEco’s staff and gave little help to YiDao’s development. In some way that also contributed to the fact that YiDao has now become a collateral damage of LeEco’s cash crisis.

　　Another supplier whom YiDao owes money to revealed that once YiDao enters the assets settlement phase, the first thing the company needs to do is pay up its employees, rent, utilities, and tax, and then the suppliers and passengers. That’s why YiDao always mentions that it has to follow the legal protocol. But if the company really wants to rise back on its feet again it would have to solve its cash crisis.

　　Financing status:

　　May 2010. Angel round, by Zhen Fund;

　　August 2011. Series A round, over ten million US dollars, by MorningSide;

　　April 2013. Series B round, $20 million, by MorningSide, Qualcomm, and CBC Capital; and later Ctrip led the investment of another B round of ￥60 million;

　　September 2014. Series C round by GIC and Ctrip, over 100 million US dollars.

　　In October 2015, LeSEE acquired 70% of YiDao’s shares at $700 million and became the biggest share holder. At that time, the board chair Jia Yueting announced that LeSEE would build the ecosystem of cabs with YiDao, claiming that the cab service would be free in the future.

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　　[The article is published and edited with authorization from the author @SinaTech, please note source and hyperlink when reproduce.]

　　Translated by Garrett Lee (Senior Translator at PAGE TO PAGE), working for TMTpost.