Alibaba Group Holding Ltd (NYSE:BABA) has reinforced its engagement in the open-source development of its large language model (LLM), the technology underlying generative artificial intelligence services like ChatGPT.
The move follows the release of Tongyi Qianwen to third-party developers, with Alibaba's Lin Junyang highlighting the invaluable feedback and strength garnered from the open-source community.
By allowing public access to source code, open-source technology has significantly contributed to developing China's tech industry, enabling software modifications, enhancements, and widespread sharing, SCMP reports.
In its stride towards advancing AI, Alibaba Cloud has released simpler forms and more complex versions of its LLM, including a 72-billion-parameter version and an audio-understanding model, through ModelScope and Hugging Face.
These steps aim to elevate Tongyi Qianwen's standing and benchmark Alibaba's advancements against those of its global counterparts. Companies like Mistral AI and Meta Platforms are leading in LLM development.
Lin underscored the commercial benefits of open-source AI development, noting its role in facilitating collaborations with potential customers' core engineers.
Prior reports indicated Alibaba slashing cloud service prices by up to 59% for international clients, marking its second major price cut in recent months after reducing prices by up to 55% in China.
Joe Tsai, co-founder and chairman of Alibaba, highlighted the impact of U.S. technology restrictions on China's ability to compete in artificial intelligence development, suggesting that China is approximately two years behind the U.S.
These restrictions, which limit access to advanced semiconductors and AI processors, have significantly impacted Alibaba's cloud business, prompting the company and others in China to seek alternative sources for these critical technologies.
Alibaba's stock plunged 28% in the last 12 months. Investors can gain exposure to the stock via SPDR NYSE Technology ETF (NYSE:XNTK) and Invesco Nasdaq Internet ETF (NASDAQ:PNQI).
Price Action: BABA shares traded higher by 0.33% at $69.84 premarket on the last check Wednesday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.