Summary
Alibaba Group plans to make artificial intelligence (AI) central to its business strategy over the next three to five years, according to Chairman Joe Tsai. The announcement was made during the company’s annual AliDay event, where leadership addressed key issues including AI innovation and the US-China trade landscape.
AI to Power Alibaba’s Growth Strategy
During this year’s AliDay event, Alibaba Chairman Joe Tsai outlined a bold vision for the company: in the next three to five years, every aspect of Alibaba’s operations will be powered by artificial intelligence. The shift aligns with the e-commerce giant’s broader effort to redefine its core business around advanced technology, particularly AI and cloud computing.
Speaking to employees and their families during the event, Tsai expressed confidence that AI would not only enhance the efficiency of operations but also significantly expand the company’s user base across its various platforms.
Addressing Global Trade and Market Challenges
Tsai, joined by Chief People Officer Jane Jiang Fang, also responded to employee concerns about the ongoing US-China trade tensions. He downplayed the negative impact, stating that China’s complex and high-tech export structure offers a strategic edge over the U.S., whose primary exports like oil and soybeans are more easily substituted.
“As long as China’s economy remains strong, Alibaba will continue to thrive,” Tsai said, reinforcing the company’s resilience amidst geopolitical uncertainties.
Strategic Repositioning and Internal Collaboration
Alibaba is in the midst of a major restructuring initiative to sharpen its focus on core sectors like e-commerce and cloud services. The company recently enabled cross-team communication through a new internal platform, promoting synergy among its six major business groups.
This shift follows a 2023 reorganization aimed at streamlining operations and fostering innovation. In February 2025, Alibaba pledged 380 billion yuan (approximately USD 52.4 billion) toward AI infrastructure and computing resources, marking one of the largest private tech investments in China to date.
Jack Ma Reappears to Inspire Staff
Adding to the event’s significance, Alibaba co-founder Jack Ma made a rare appearance at the Hangzhou headquarters. Greeted with enthusiastic applause, Ma revisited a replica of the company’s original office and joined employees at a music show. Although he stepped down from corporate roles in 2019, Ma remains a respected figure within Alibaba’s culture.
Ma has recently shown support for Alibaba Cloud, visiting the division to encourage its AI initiatives. In a recent speech, he emphasized that while AI is a powerful tool, long-term success hinges on creating unique and valuable innovations.
Looking Ahead
Alibaba’s intensified focus on artificial intelligence signals a transformative period for the company. As it channels billions into next-generation technology, the Hangzhou-based giant is positioning itself as a leader not just in e-commerce, but in China’s fast-evolving AI landscape.
Source: South China Morning Post
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