{"id":31218,"date":"2025-08-29T17:42:08","date_gmt":"2025-08-29T17:42:08","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/31218\/"},"modified":"2025-08-29T17:42:08","modified_gmt":"2025-08-29T17:42:08","slug":"ai-related-products-help-drive-growth-in-alibabas-cloud-division","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/31218\/","title":{"rendered":"AI-Related Products Help Drive Growth in Alibaba\u2019s Cloud Division"},"content":{"rendered":"

Artificial intelligence-related products led Alibaba Group<\/a>\u2019s gains during a quarter in which the global technology company earned double-digit year-over-year revenue growth across its businesses.<\/p>\n

Overall, during the quarter ended June 30, Alibaba reported year-over-year revenue growth of 2%, or 10% when revenue from two businesses it sold over the past year is excluded, according to a Friday (Aug. 29) earnings release<\/a>.<\/p>\n

The company said in a presentation<\/a> released Friday that it is \u201cembarking on a new chapter of entrepreneurship by investing in two strategic pillars of consumption and AI + Cloud.\u201d<\/p>\n

Alibaba\u2019s cloud division earned 26% year-over-year revenue growth. The division\u2019s gains were driven in part by its customers\u2019 increasing adoption of AI-related products, according to the release.<\/p>\n

\u201cDuring the quarter, AI-related revenue accounted for over 20% of revenue from external customers as AI demand continued to grow rapidly,\u201d Alibaba Group CEO Eddie Wu<\/a> said Friday during the company\u2019s quarterly earnings call. \u201cWe\u2019re also seeing AI applications driving great growth momentum of traditional products, including compute and storage.\u201d<\/p>\n

The company\u2019s Alibaba International Digital Commerce Group (AIDC) delivered 19% year-over-year revenue growth. The group\u2019s cross-border business was especially strong, and its international wholesale platform gained new monetization opportunities as more merchants adopted its AI-powered tools for marketing, procurement and product listing, the release said.<\/p>\n

Alibaba\u2019s third business, its China E-Commerce Group, saw a 10% gain in year-over-year revenue growth. This increase was helped by gains in consumer use of the group\u2019s Taobao<\/a> app after Alibaba launched the Taobao Instant Commerce service at the end of April, per the release.<\/p>\n

A company executive said in May that Alibaba launched \u201cinstant commerce<\/a>,\u201d a fast delivery service, because there is huge demand in China for fast delivery and because the company has the merchant base and logistics capabilities to meet that demand.<\/p>\n

The company\u2019s fourth business, \u201call others,\u201d saw a 28% year-over-year decline in revenue, which Alibaba attributed to its sale of Sun Art<\/a> and Intime<\/a>.<\/p>\n

An Alibaba executive said in July that the company was paring away non-core businesses and focusing on eCommerce and cloud computing<\/a>.<\/p>\n

Alibaba also reported in the earnings release that Ant Group<\/a>, in which Alibaba is an investor, contributed 1.5 billion yuan (about $216 million) in profit during the quarter, down from 3.9 billion yuan a year earlier.<\/p>\n

Alibaba attributed the decline to Ant Group\u2019s \u201cinvestments in new growth initiatives and technologies, and the decrease in fair value of certain investments.\u201d<\/p>\n

For all PYMNTS AI coverage, subscribe to the daily AI Newsletter<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"Artificial intelligence-related products led Alibaba Group\u2019s gains during a quarter in which the global technology company earned double-digit…\n","protected":false},"author":2,"featured_media":31219,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[291,8472,289,290,6738,11148,18,19,17,5,1351,15378,82,2350],"class_list":{"0":"post-31218","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-alibaba","10":"tag-artificial-intelligence","11":"tag-artificialintelligence","12":"tag-earnings","13":"tag-ecommerce","14":"tag-eire","15":"tag-ie","16":"tag-ireland","17":"tag-news","18":"tag-pymnts-news","19":"tag-revenue","20":"tag-technology","21":"tag-whats-hot"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/31218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=31218"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/31218\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/31219"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=31218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=31218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=31218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}