Alibaba Sparks AI Price War With Massive Discounts: Report
In a major move, Alibaba Group Holding Ltd slashed prices on its artificial intelligence services by up to 97%, prompting immediate reactions from competitors Baidu Inc and ByteDance Ltd. This aggressive pricing strategy is expected to ignite a price war in China’s emerging AI sector.
“The influx of capital has led to the creation of numerous AI models and a variety of consumer and enterprise products, all vying for a critical user base essential for advancing AI technologies.”
The sector has attracted massive investments from startups and major tech firms like Tencent Holdings Ltd. The influx of capital has led to the creation of numerous AI models and a variety of consumer and enterprise products, all vying for a critical user base essential for advancing AI technologies.
AI models are becoming increasingly popular
For years, Chinese tech companies have used aggressive discount strategies across various markets, including e-commerce and ride-hailing. Earlier this year, Alibaba triggered widespread price cuts in cloud computing by offering discounts of up to 55% on over 100 domestic services in March.
Cloud computing is becoming more affordable
Like their Silicon Valley counterparts, Chinese tech giants like Alibaba are heavily investing in generative AI. Besides developing proprietary AI models, they are also funding promising ventures such as Baichuan and Zhipu AI, aligning themselves with the global trend led by companies like Microsoft Corp.
Generative AI is the future
Meanwhile, in the world of tech deals, Memorial Day sales have already started, allowing shoppers to grab deals before the holiday. Some featured deals include Ring cameras up to 44% off, Beats headphones almost half off, a 75-inch TV with 4K Ultra HD and Alexa built-in, the M1 iPad Air at 33% off, and Tineco cordless vacuums up to 40% off. One standout deal is the SodaStream Terra sparkling water maker, discounted to $70 from its original $100 price.
Memorial Day sales are here
Major retailers such as Best Buy, Walmart, Amazon, and more are full of deals you can grab right now. We’ve rounded up the best early Memorial Day 2024 deals that you can shop now, so you can snag savings even before the long weekend.
Tech deals are abundant
The best early Memorial Day 2024 deals include discounts on a variety of items, including their own devices, electronics, home goods, and more. The sales event has already started, allowing shoppers to grab deals before the holiday.
Discounts are everywhere
In conclusion, the AI price war sparked by Alibaba’s massive discounts is expected to ignite a fierce competition in China’s emerging AI sector. Meanwhile, shoppers can enjoy early Memorial Day deals on a variety of tech products and more.
The AI price war has begun
