Alibaba has announced plans to invest up to $53 billion in AI infrastructure over the next three years, including building an AI data center.
According to an official post that was reported by Bloomberg, the company intends to form key partnerships with firms dealing in AI, to provide real-life solutions.
Alibaba announces $53 billion investment in AI infrastructure
Alongside Alibaba, Meta has announced its intention to invest $65 billion in its AI operations, with Microsoft also announcing an $80 billion cash injection into its data centers.
According to reports, Alibaba is seeking to shift its focus in the AI industry, following competitor DeepSeek’s success with its model, which the company notes that it was trained with a fraction of the cost of its competitors.
While investors are happy about the move, Wall Street is still uncertain about building data centers even after the release of DeepSeek’s model. While these uncertainties remain, Alibaba has gained about $100 billion since the beginning of the year. The recent appearance of Jack Ma at President Xi Jinping’s summit has also renewed the hope of the company’s acceptance in China.