China’s top three internet companies are competing by proxy through their stakes in the domestic car services market following Baidu’s undisclosed investment in Uber earlier this week. Internet giants Alibaba and Tencent are already backing taxi-apps Kuaidi Dache and Didi Dache respectively. The Baidu partnership may also help them improve their regulatory compliance in China, which has been weak in comparison to Didi Dache and Kuaidi Dache. As a latecomer in the Chinese market, Uber will also be looking to leverage the partnership for expansion potential. Despite obvious market entry challenges, Uber CEO Travis Kalanick is optimistic about the company’s ability to expand in China.