Taiwanese electronics contract manufacturer Foxconn Technology Group has bought a 0.4 per cent stake in Chinese ride-hailing company Didi Chuxing, investing US$119.9 million in a deal which values the company at about US$34 billion, according to Bloomberg News. Foxconn subsidiary Hon Hai Precision Industry Co. took a 0.355 per cent stake in the company, according to a filing seen by Bloomberg. The maker of iPhone and other devices for Apple said the transaction is part of a broader effort to build products and services for the Internet of Things. “Foxconn is a global electronics and mobile technology leader. With the support of Foxconn and other value investors home and abroad, Didi will continue to push the frontier of innovation for the mobile transportation market and create ever stronger driver and rider communities.” Didi said in a statement. Didi said nothing had been agreed in terms of a direct tie-up on products or services. “We are exploring possibilities, but there are no concrete plans for cooperation yet,” Didi said. Didi started as a service for hailing taxis, but has since offered ride-sharing, bus hiring, chauffeur services, auto financing and test-driving services, according to Bloomberg. The company has emerged as the dominant provider in its home after it agreed last month to buyout Uber Technologies’ China unit. Didi’s lead was further bolstered by Apple’s $1 billion investment in May, which was the smartphone maker’s first public investment in the transportation market, according to Bloomberg. Foxconn’s investment in the transportation industry comes amid a global slowdown in smartphone sales and parallels Apple’s strategic shift to diversify.