Alibaba (BABA) experienced its biggest stock surge in weeks after introducing the QwQ-32B model, an AI system that rivals DeepSeek but requires only a fraction of the data.

Like its U.S. counterparts, Alibaba is going all-in on generative AI. Its cloud computing business saw an 11 percent year-over-year increase in revenue in December 2024. AI-related product sales have experienced triple-digit growth for the sixth consecutive quarter, signaling strong enterprise demand for AI-powered solutions.

Alibaba Group Holding Ltd. pledged to invest more than 380 billion yuan ($53 billion) on AI infrastructure such as data centers over the next three years, a major commitment that underscores the e-commerce pioneer’s ambitions of becoming a leader in artificial intelligence.

A surge in AI developments from Chinese tech giants has fueled a rally in China's stock market, pushing tech shares to multi-year highs.

Alibaba Group Holding Limited outperforms Shanghai Composite & rivals like PDD, JD.com with strategic focus on e-commerce & cloud. Read more on BABA stock update.

Improvements in E-Commerce Business Although China’s retail market has been mixed in recent quarters due to uncertain consumer sentiment and decelerating economic