Alibaba guides AI cloud revenue toward US$10 billion run-rate next quarter

DIGITIMESAugust 21, 2026en

Alibaba is signaling that its most capital-intensive bet yet — a three-year, CNY380 billion (US$56.33 billion) buildout of AI compute — is starting to compound into a self-reinforcing growth cycle, even as the near-term cost of that buildout shows up in a sharp swing in capital spending and a steep drop in group profitability.

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