Alibaba to sell gaming arm for US$1.5 billion in boost to AI pivot
Alibaba Group Holding has agreed to sell its gaming arm, Lingxi Games, for a minimum of US$1.5 billion, as part of the Chinese e-commerce giant's shift towards artificial intelligence. Trustar Capital, an Asian private equity firm, has finalized the deal to acquire Lingxi Games, according to an internal memo reviewed by Bloomberg News.
The transaction could potentially value the studio at over US$1.5 billion, as reported by Bloomberg News last week. Lingxi Games' flagship game, Three Kingdoms: Strategy Edition, is a popular multiplayer online strategy title co-developed with Japan's Koei Tecmo Holdings Co. This strategic move by Alibaba, under CEO Eddie Wu, aligns with the company's broader corporate restructuring, which prioritizes artificial intelligence and cloud computing as strategic priorities. Alibaba aims to generate US$100 billion in AI revenue within the next five years.
Written by urgent.news from Straits Times Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
