Nanpai Information: On May 14, Alibaba Group released its latest quarterly results, Alibaba Cloud's quarterly revenue increased by 3% to 25.595 billion yuan, of which the revenue of core public cloud products achieved double-digit growth, and AI-related cloud products achieved triple-digit growth. At the same time, Alibaba Cloud continued to maintain profitability, with Adjusted EBITA up 45% year-over-year to RMB1.432 billion.
During the quarter, Alibaba Cloud focused on the "AI-driven, public cloud-first" strategy, expanded its technology and scale advantages, and actively invested in AI infrastructure construction to embrace the huge opportunities for the development of the AI industry. At present, Alibaba Cloud has established strategic cooperation with most of the leading Chinese large model companies, and at the same time, Alibaba Cloud's self-developed large model Tongyi Qianwen has made rapid progress. Alibaba Cloud adheres to open source and openness, comprehensively promotes the application of AI large models in the industry, and deeply participates in the common growth of the industry.
According to the financial report, Alibaba Cloud's AI-related revenue growth accelerated, and it continued to record triple-digit year-on-year growth in the quarter. This growth comes from a wide range of industries, including the demand for model training and inference services from basic model companies and Internet companies, as well as the growth in demand for AI model applications from industries such as finance and automotive.
The just-released version 2.5 of Tongyi Qianwen tied GPT-4 Turbo's score on the authoritative benchmark OpenCompass. At the end of April, the open-sourced 110 billion parameter model Qwen1.5-110B surpassed Meta's Llama-3-70B in multiple benchmarks, and topped the HuggingFace open-source model rankings, which has been at the top level of the global open-source model.
Tongyi Lingcode has become the largest intelligent coding assistant in China, based on the SOTA level of Tongyi Qianwen code model CodeQwen1.5 research and development, plug-in downloads have exceeded 3.5 million, daily recommendation code more than 30 million times, has been adopted by developers of more than 100 million lines of code, is the most popular intelligent programming assistant in China.
According to the data, the Tongyi model has served more than 90,000 enterprises through Alibaba Cloud and more than 2.2 million enterprises through DingTalk. There are also a large number of small and medium-sized enterprises and developers who use the Tongyi model through the open source community, and the cumulative number of downloads of the Tongyi open source model has exceeded 7 million.
According to the financial report, Alibaba Cloud is focusing on high-quality revenue from increased public cloud adoption and reducing project-based contracts with lower profit margins. During the quarter, Alibaba Cloud's core public cloud products (including elastic computing, databases, and AI products) achieved double-digit year-on-year revenue growth.
At the same time, in order to further increase the penetration of public cloud in the Chinese market, Alibaba Cloud significantly reduced the price of its core products during the quarter. This price reduction is mainly driven by the scale of Alibaba Cloud's infrastructure and the cost dividend brought by technological advancement. In April this year, Alibaba Cloud expanded its price reduction measures from the Chinese market to overseas markets, further accelerating its global expansion.
During the quarter, Alibaba Cloud continued to be profitable, with Adjusted EBITA up 45% to RMB1.432 billion. This is mainly due to Alibaba Cloud's focus on public cloud, which has led to the improvement of product structure and operational efficiency.