Artificial Intelligence Will Help Alibaba’s Cloud Business Expand Globally

(CTN News) – Alibaba announced on Thursday that it has broadened the scope of its cloud computing services to encompass the United States.

Similarly, the president of the international branch of the corporation praised the artificial intelligence solutions that the company offers as a means of fostering development during the same period.

The Chinese technology giant has announced that it has expanded the availability zone of its cloud computing products to Mexico for the first time. In addition, it disclosed that it will establish new data centers in critical nations, including Malaysia, Thailand, and South Korea, over the next three years.

“We intend to increase our investments and efforts in our international data centers,” stated Selina Yuan, President of Alibaba Cloud’s international division, during an interview with CNBC on Wednesday.

“We want to move forward with increased efforts and investments.” “We want to have more of both.”

Alibaba Cloud is currently endeavoring to expand its operations following a period of instability that included the division’s decision to forgo a planned initial public offering and a management change. This occurred subsequent to the organization’s previous period of instability.

The cloud division of Alibaba started expanding in 2015,

Which has yielded a diverse array of outcomes to date. Amazon, Microsoft, and Google, which is owned by Alphabet, are responsible for approximately 67% of the global cloud computing market share, according to a study conducted by Synergy Research Group. Alibaba occupies a location that accounts for less than five percent of the total area.

Conversely, Canalys’ data indicates that Alibaba maintains a 39% market share in China. As a result, the organization is now regarded as one of the most influential entities in the Asian region.

Daniel Zhang, Alibaba’s former CEO, and the current senior management team both regard cloud operation as a critical future business.

However, the pace of development has experienced a substantial decline in the past few quarters. During an earnings call earlier this month, Alibaba executives asserted that the cloud segment would continue to experience “double-digit growth” in the second half of the current fiscal year. The conversation transpired earlier this month.

Alibaba is banking on the development of artificial intelligence (AI) products and the acquisition of a significantly larger number of consumers to regain that momentum.

Alibaba, the Chinese technology behemoth, has initiated the utilization of the artificial intelligence technologies that it has developed in China. LVMH, a French luxury company, initiated the utilization of these technologies on Wednesday, marking the expansion of Alibaba’s partnership.

Tongyi Qianwen, Alibaba’s large language model (LLM), was initially introduced in 2023. This software, known as LLM, serves as the foundation for applications that employ artificial intelligence and is trained on vast quantities of data.

In an effort to compete with other Chinese competitors, such as Baidu and Tencent, as well as with the technology titans of the United States, Microsoft, OpenAI, and Google, the Chinese corporation launched a more advanced version of the model this month. In an endeavor to remain competitive with these competitors, this announcement was issued.

Alibaba’s senior management,

Including CEO Eddie Wu, has expressed confidence in the company’s potential in the field of artificial intelligence. Alibaba distributes its artificial intelligence capabilities through its cloud business in a manner that is similar to that of Microsoft and Google.

We are convinced that artificial intelligence is the direction of the future and is unquestionably the current trend.

In what ways can we offer support to the artificial intelligence and large language model? In accordance with Yuan’s statement to CNBC, “cloud computing.”

Alibaba’s cloud service is presently in an advantageous position, according to our assessment.

We have access to cloud computing and have a well-established plan. I am of the opinion that we are capable of achieving even more for the firm, our clients, and our business partners, despite the fact that we have a substantial linguistic model.

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