China's leading ride-hailing app Didi Chuxing has announced that the company has received an investment of $1 billion from Apple Inc. This is the single largest funding Didi has ever received.

"The endorsement from Apple is an enormous encouragement and inspiration for our four-year-old company," the company's CEO Cheng Wei said in a statement. "Didi will work hard with our drivers, riders, and global partners, to make available to every citizen flexible and reliable mobility choices, and help cities solve transportation, environmental and employment challenges."

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With the $1 billion funding, Apple joins Didí's other investors, such as Chinese Internet giants Alibaba and Tencent. China is a strong market for Apple. The company has a share of 13.7 percent in China's smartphone market. The Asian country is also second largest market for the iPhone maker. Apple earned $18.4 billion in first quarter of the current financial year from China.

Apple's CEO Tim Cook, in a telephone interview with Chinese news agency Xinhua, said Apple decided to make the investment for a number of strategic reasons, including the chance to learn more about certain segments of the Chinese market.

"We see lots of opportunities for closer cooperation between the two companies, and we also believe it will deliver strong returns," he said.

Didi Chuxing, formerly known as Didi Kuaidi, is the biggest ride-sharing application in China with 87 percent of the market share. It is also second largest e-commerce platform in the country. The company is in fierce competition with global car-hailing application Uber. Apple's investment is expected to help Didi to consolidate its market in China.  

TagsDidi Chuxing, apple, Uber, china, Tim Cook, Cheng Wei