BABA ▲ +2.6% - Alibaba Group Holding Limited $BABA UNVEILS NEW AI CHIP, PLANS 5T-10T PARAMETER MODELS AND 20GW+ OF DATA CENTER CAPACITY Alibaba unveiled its new Zhenwu V900 AI chip, designed for both model training and inference, with performance roughly 3x higher than its predecessor released just four months ago. The V900 is expected to enter mass production and commercial release in Q1 2027. Alibaba says clusters built around the chip can scale to as many as 500,000 accelerators for training and running frontier AI models. Alibaba is also targeting more than 20GW of global data center capacity by 2032 and plans to launch its new Yitian 720 and 730 CPUs for agentic AI workloads in 2027. Qwen4 is currently in training and expected soon, while future Qwen generations are expected to scale to roughly 5T-10T parameters, versus 2.4T for the current Qwen 3.8 Max. Alibaba has committed more than $53B over three years toward AI infrastructure and capabilities as China pushes to reduce reliance on Nvidia and expand domestic chip production. Alibaba stock rose 2.6% following the company's announcement of new AI capabilities, including its Zhenwu V900 chip with roughly 3x performance improvement over its predecessor, plans to scale data center capacity to over 20GW by 2032, and a $53 billion three-year commitment to AI infrastructure. The moves position Alibaba to compete in large-scale AI model training and deployment while supporting China's broader effort to develop domestic alternatives to Nvidia chips. 22-SEP-2026 05:20 AM ET