Chinese e-commerce giant Alibaba has announced its plan to raise $3.2 billion to fund its international expansion and strengthen its cloud computing business. The company will raise the capital through a “zero-coupon convertible bond,” which is the largest deal of its kind this year.
Approximately 80% of the funds will be used to expand data centers, upgrade technology, and improve services to meet the growing demand for cloud solutions. The remaining amount will be invested in boosting the market presence and efficiency of its e-commerce ventures. According to CEO Eddie Wu, Alibaba’s investments in artificial intelligence (AI) are already yielding tangible results and AI is becoming a key driver of the company’s growth.
