Alibaba’s semiconductor division, T-Head, introduced the Zhenwu M890 AI chip and the Qwen 3.7-Max model at the Alibaba Cloud Summit. The M890 chip delivers three times the performance of its predecessor. This hardware specifically targets long-horizon agentic workloads. Alibaba also announced plans for an eventual public listing of the T-Head unit.
Alibaba (BABA) shares fell 1.12% to close at $130.00 on Friday. A broader sell-off in Chinese ADRs overshadowed the product announcements. Beijing initiated a major crackdown on illegal cross-border securities brokers. The regulatory action renewed investor concerns regarding persistent headwinds in the Chinese market.