Alibaba's AI Ambitions: A Strategic Leap into the Future with Nvidia Partnership

Alibaba announced a partnership with Nvidia and plans to expand global data centers, underscoring its focus on AI as a primary business drive. Its Hong Kong-listed shares surged by nearly 10% following the announcement. Alibaba's investments highlight its strategic shift towards AI amid growing competition.

Alibaba has embraced artificial intelligence as a core business priority, aligning itself with Nvidia and revealing ambitious global data center expansion plans. The Chinese tech giant reported a nearly 10% surge in its Hong Kong-listed shares following the announcement, reaching a four-year high as investors welcomed the strategic shift.

CEO Eddie Wu acknowledged at the annual Apsara Conference that the AI industry's rapid evolution has surpassed the company's expectations, leading to intensified focus on AI infrastructure. Alibaba has committed 380 billion yuan to AI infrastructure over three years, and its latest collaboration with Nvidia aims to enhance physical AI capabilities.

Further expanding its influence, Alibaba announced its first data centers in Brazil, France, and the Netherlands, aiming to bolster its AI presence internationally. In addition to partnerships, the release of its Qwen3-Max AI language model, boasting over 1 trillion parameters, underscores Alibaba's commitment to innovation in AI technology.

(With inputs from agencies.)