Core Viewpoint - Didi is re-entering the Brazilian food delivery market under the "99 Food" brand, aiming to compete in the rapidly growing Latin American market, particularly against local player iFood and global competitor Uber [1][2][3]. Market Overview - The global food delivery market is projected to exceed $550 billion by 2024, with Latin America experiencing a growth rate of 19% in 2023, making it the second fastest-growing region after the Middle East [4]. - Brazil and Mexico are the top two markets in Latin America, with food delivery market sizes of approximately $20 billion and $7.2 billion in 2023, respectively [6]. Competitive Landscape - Didi and Uber are engaged in a fierce competition in the Latin American market, with Didi currently holding a market share of 56% in the Mexican ride-hailing sector, surpassing Uber's 44% [7]. - In Mexico, Didi has also captured over half of the food delivery market, establishing itself as the largest player [8]. Challenges in Brazil - In Brazil, Didi faces strong competition from local player iFood, which holds over 80% market share and has implemented restrictive practices that previously hindered Didi and Uber's market entry [9][13]. - Didi's strategy involves targeting underserved second and third-tier cities in Brazil, leveraging its existing ride-hailing business to gain a foothold in the food delivery sector [13]. Synergies and Advantages - Didi's established user base of over 50 million and a registered driver count exceeding 1.5 million provide a significant advantage in scaling its food delivery operations [15]. - The integration of ride-hailing, food delivery, and financial services is expected to enhance user engagement and operational efficiency, creating a "super app" in the Latin American market [15][17]. Financial Performance - Didi's international business reported a total order volume of 3.613 billion in Q4 2024, with a gross transaction value of 91.3 billion yuan, reflecting a year-on-year growth of 34.8% [17]. - While Didi's ride-hailing business in Brazil has achieved profitability, the food delivery segment is anticipated to require a longer time frame to reach similar financial success [15].