Baidu has said that it plans to invest in online minicab firm Uber.

Baidu will connect its map and mobile search features with Uber’s service, the two companies said in a statement. However, the size of the investment and stake wasn’t disclosed.

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The partnership is being seen as strategically significant for both companies. It positions Baidu to compete in China’s burgeoning car booking sector and could also help Uber to circumvent some of the regulatory and legal challenges that it faces in some markets.

Bloomberg reported that Uber has recently completed a round of funding that valued the company at US$40bn.  

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