Alibaba stock climbs on new AI chip

Alibaba has announced that it will launch the production of the Zhenwu V900 AI chip in the first quarter of 2027 to enhance its competitive capabilities in the chip and cloud technology sectors. The company also disclosed a plan to increase the total capacity of its data centers worldwide to over 20 gigawatts by 2032, as part of its strategy to invest in AI infrastructure, aligned with similar investments from major companies like Nvidia and Meta. Currently, the existing chips are used by more than 650 clients across various industries, which is part of Alibaba's efforts to develop AI models such as Qwen 4 and beyond.

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