Alibaba Group Holding Limited (NYSE:BABA) (NYSE:BABAF) is starting to sound less like an e-commerce company and more like an AI infrastructure hyperscaler trying to combine the roles of Microsoft Corp (NASDAQ:MSFT), Amazon.com, Inc. (NASDAQ:AMZN) and Nvidia Corp (NASDAQ:NVDA) under one roof.
During its earnings call, Alibaba executives repeatedly described a business rapidly expanding across AI models, cloud infrastructure, chips, enterprise software and AI agents — all while demand for compute appears to be exploding across China.
Alibaba’s Full-Stack AI Push
“Our full stack capabilities span models, cloud infrastructure and applications with established leadership in every layer,” Alibaba CFO Toby Xu said.
That transformation is already beginning to show up in the numbers. Alibaba said Cloud Intelligence Group’s external revenue growth accelerated to 40%, while AI-related product revenue has now posted triple-digit growth for 11 consecutive quarters.
The company added that AI-related product revenue now accounts for 30% of external cloud revenue and could surpass 50% within about a year.
The strategy increasingly mirrors …