Alibaba Deepens Global Cloud Discounts in AI Expansion Effort
The tech giant's aggressive pricing strategy aims to bolster its international cloud business amid heightened demand for AI development and geopolitical challenges.
- Alibaba Group Holdings announces significant price cuts for its cloud services to international customers, with reductions up to 59% as part of its AI push.
- The price cuts aim to make Alibaba Cloud's computing resources more accessible globally, amidst increased demand for AI development.
- The move is seen as a response to geopolitical tensions and challenges, including US restrictions on exports of advanced chips affecting Alibaba's cloud capabilities.
- Alibaba's strategy includes offering discounts for long-term commitments and enhancing its AI computing platform, PAI-Lingjun, in Singapore.
- Despite the aggressive pricing strategy, Alibaba faces stiff competition globally, particularly from US cloud service providers, and challenges from US trade curbs.
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