Alibaba is focusing on AI-generation tools for overseas sellers, says CEO

SINGAPORE – Chinese tech giant Alibaba’s international e-commerce arm is using artificial intelligence-based tools to help cross-border sellers with translations, content creation and product returns, said group vice president Kaifu Zhang.

Speaking on stage at the Reuters Next conference in Singapore, the managing director of Alibaba’s International Digital Commerce artificial intelligence (AI) initiative said he was optimistic about the potential of AI for the company, even amid rising tensions between China and the U.S.

“China is roughly on par with the U.S. in terms of AI innovation speed,” said Zhang, who pointed to China and Europe’s global development in AI open-source technologies.

The burgeoning tech conglomerate is grappling with how to make its global marketplaces, including AliExpress and Lazada, more competitive after spinning off its international e-commerce division into a standalone company.

The early bird advantage has eroded in recent years, with sales and growth dwarfed by China-founded Shein and NASDAQ-listed PDD Temu.

According to Zhang, Alibaba International Digital Commerce Group currently has 300 million annual customers and more than 1 million sellers worldwide.

The unit has become one of Alibaba’s brightest growth areas, with profits rising 44% in the October-December period from a year earlier.

To watch live coverage of the World Stage, visit Reuters NEXT news: https://www.reuters.com/world/reuters-next/

(Reporting by Fanny Potkin, Sameer Manekar and Alessandra Galloni in Singapore. Editing by Jan Harvey)