In the first period of the explosion in the field of artificial intelligence, competition was mostly returning among American companies such as OpenAI, Google and Anthropic. However, at the point we have reached today, the competition area is now moved between China and America. In recent days, the artificial intelligence of Chinese -based companies such as Deepseek and Alibaba showed that they could compete with Western competitors. Moreover, this competition seems to continue to increase in the coming period. Because Chinese companies are increasing their investments in this field.

At the beginning of these companies is the e-commerce giant Alibaba. Alibaba, who is now far beyond being an e-commerce company, turns his focus on artificial intelligence. The company, which has recently released the QWEN 2.5 MAX model, is quite ambitious in this field and is now preparing for a giant investment in this field. Alibaba announced that it will invest about $ 53 billion in artificial intelligence in the next three years.

Alibaba and China will strengthen the artificial intelligence infrastructure

Most of these 53 billion dollars will go to projects that will strengthen AI infrastructure, such as data centers. The cloud servers required for the wide range of artificial intelligence programs such as Deepseek and Qwen will be strengthened with this investment.

Currently, one of the most important obstacles to Chinese artificial intelligence companies is this server problem. As a matter of fact, it was because of this deficiency that Deepseek, who became rapidly popular, started to experience performance problems in a short time. Chinese companies need to eliminate this problem in order to compete with Western competitors. This investment made by Alibaba now can benefit not only their own artificial intelligence, but also other Chinese companies such as Deepseek. Just as AWS (Amazon Web Services) provides server services to many companies all over the world, Alibaba can also play such a task for China in the future.

GPU embargo can make Alibaba’s job difficult

Of course, there is an important obstacle that Chinese companies, especially Alibaba, should overcome this issue. It is the US’s new GPU embargo. Bringing significant restrictions on selling GPUs abroad, the US has enabled the sale of advanced GPUs used in the training of artificial intelligence to China. Therefore, Alibaba can now have difficulty in obtaining GPU when installing new data centers.

Chinese companies have been using various methods such as buying through Singapore to wander around similar embargoes for years. But during the Trump period, these doors are closed one by one. Therefore, Chinese companies will have to find solutions not only for the server problem, but also to the GPU supply problem.

China will support the technology sector

What is promising on behalf of Chinese technology companies is now that they have supported the Chinese government. Normally, the Chinese administration, which exhibits a long -distance, even punishing attitude towards the private sector, is now following a different strategy. As a matter of fact, Chinese President Xi Jinping recently came together with the technology leaders of his country and gave them a message of support. Alibaba’s founder Jack Ma was also on that meeting. A few days after this meeting, it is not a coincidence that such an explanation comes from Alibaba.