Alibaba Cloud Industrial AI Solution

By David Cao

ARC Report Abstract


Founded in 1999, Alibaba Group has become China’s largest online retailer. The company has been listed on NASDAQ since September 2014. As of the end of January 2018, the Alibaba Group’s market cap reached $500 billion, making it one of the world’s largest companies based on market cap, alongside companies like Alphabet, Amazon, Apple, Facebook, Microsoft, and Tencent.  Now, the Alibaba Group is going forward with its industrial AI solution.

Alibaba Cloud, a strategic business of Alibaba Group, was an early entrant into the public cloud services market. The business was launched in 2009, less than a year after Microsoft Azure. Today, Alibaba Cloud is China’s largest public cloud service provider with about 50 percent market share in China and approximately $1.8 billion in revenue globally in 2017. The company is expanding its business outside of China, mainly in Southeast Asia, the Middle East, Australia, Germany, and Japan.

Alibaba Cloud Industrial AI Solution

While the global cloud services market is becoming increasingly competitive, the competition is even fiercer in China due to the extremely large potential market size. Dozens of providers are competing in this market.

The large global cloud services providers, like Microsoft Azure and Amazon Web Services (AWS), are developing their respective business in et brain industrial AI etbrain.JPGChina with their Chinese partners. China’s Internet management law mandates that all cloud services are operated by a Chinese company, international providers can’t operate business directly by themselves. Furthermore, all data must be stored in China, ostensibly to ensure the data security of domestic users. This represents a huge challenge for global cloud service providers, which must be handled properly.

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Keywords: Alibaba Cloud, Artificial Intelligence (AI), Cloud Computing, Industrial IoT, ET Industrial Brain, ARC Advisory Group.


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