Alibaba proposes $10 billion share placement to fund global AI drive
<p>Hong Kong: Chinese tech giant Alibaba said on Sunday that it plans to issue HK$80 billion ($10.2 billion) in new shares in Hong Kong to fund its global artificial intelligence ambitions.</p> <p>The Hangzhou-based firm has been ploughing tens of billions of dollars into AI, with its shareholders eager to see how it will monetise the huge investments.</p> <p>"The Equity Placement is being…
Chinese technology behemoth Alibaba announced on Sunday its intention to issue HK$80 billion ($10.2 billion) in new shares on the Hong Kong stock market. /p
The Hangzhou-based firm has been investing tens of billions of dollars into artificial intelligence (AI) technology, with investors keen to observe how it plans to profit from this significant expenditure. /p
Alibaba explained in a statement that the Equity Placement is being conducted "to extend the Company's global AI leadership." /p
The company intends to utilize all the net proceeds from the share issue to bolster its "full stack AI capabilities," including expanding and enhancing its AI infrastructure, it added. /p
In its most recent quarter, Alibaba reported nearly 269 billion yuan ($40 billion) in revenue—a nine percent year-on-year increase—driven by the global AI frenzy fueling demand for its products. /p
Renowned for its open-source "Qwen" AI models, Alibaba's offerings have garnered popularity among developers worldwide.
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- Alibaba proposes $10 billion share placement to fund global AI drive economictimes.indiatimes.com
