Alibaba has announced that it will invest $28.26bn in its cloud computing division over the next three years as demand for video conferencing and other cloud services has soared during the global pandemic.
According to the Chinese ecommerce giant, the funds will be used to invest in infrastructure and technologies related to operating systems, servers, chip and networks.
In a statement, president of Alibaba Cloud Intelligence and CTO of the Alibaba Group, Jeff Zhang explained how the investment will allow it to help businesses speed up their recovery process, saying:
“By increasing our investment on cloud infrastructure and fundamental technologies, we hope to continue providing world-class, trusted computing resources to help businesses speed up the recovery process, and offer cloud-based intelligent solutions to support their digital transformation in the post-pandemic world.”
Global cloud market
However, the company has continued to invest heavily in cloud computing as its executives believe it will become a critical area in the future.
By investing $28.26bn in its cloud computing division, Alibaba has a chance to further expand into international markets while also building up its product and customer base.