Alibaba To Raise $10.2bn For Global AI Expansion

Alibaba says it plans to raise about 10-point-two billion dollars through a new share sale in Hong Kong to strengthen its global artificial intelligence ambitions.

The Chinese tech giant announced the plan on Sunday in a statement from its headquarters in Hangzhou, saying the money will be used to expand its full-stack AI capabilities and infrastructure.

Alibaba said the equity placement is necessary to extend its global AI leadership as the company continues to invest tens of billions of dollars in artificial intelligence.

The company explained that all net proceeds from the share sale will go into developing and improving its AI infrastructure as it seeks to meet growing demand for AI products and services.

Alibaba had on Thursday reported nearly 269 billion yuan, about 40 billion dollars, in quarterly revenue, representing a nine per cent year-on-year increase driven partly by the global AI boom.

The company, which is known for its open-source Qwen AI models used by developers worldwide, says the new funding will help it expand its AI operations and compete more strongly in the global technology market.