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Alibaba deepens AI push with new chip, bigger model; shares jump 5%

Alibaba said the new chip delivers three times the performance of its predecessor and will support larger Qwen models now in training.

  • On Tuesday, Alibaba Group Chief Executive Eddie Wu announced a strategy targeting 20 gigawatts of Alibaba Cloud data center capacity by 2032, citing "exponentially rising demand for AI" at the Apsara Conference in Hangzhou.
  • The company plans to scale upcoming Qwen series models to between 5 trillion and 10 trillion parameters, significantly exceeding the 2.4 trillion parameters of the current flagship Qwen 3.8 Max.
  • Alibaba also introduced the Zhenwu V900, a next-generation AI chip from its T-Head unit that Eddie Wu claimed delivers three times the performance of the M890 supernode and supports up to 500,000 cards.
  • Scheduled for mass production in the first quarter of 2027, the chip arrives as Chinese firms race to develop domestic alternatives to Nvidia processors amid ongoing U.S. export restrictions.
  • The Qwen team continues research into recursive self-improvement to complete "more complex, longer-horizon tasks" and advance toward artificial superintelligence, or ASI, while Alibaba expects "significant growth" in annual AI chip shipments.
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Alibaba introduced the Zhenvu V900, which has a capacity of three times that of the previous model.

·Kyiv, Ukraine
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The announcement was made by Eddie Wu, Alibaba's executive president, during the Apsara conference in Hangzhou.

·Lisboa, Portugal
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se7en.ws broke the news on Tuesday, September 22, 2026.
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