Alibaba stock reached a four-year high following plans to increase AI spending beyond $50 billion, aligning with US tech giants. CEO Eddie Wu projected a $4 trillion global AI investment over five years. Alibaba’s expanded AI investment, including a deal with Nvidia, aims to strengthen its cloud and AI chip technology. The collaboration comes amidst sensitive US-China trade relations. Alibaba’s cloud unit, serving clients globally, will expand into Brazil, France, and the Netherlands. Amazon, Alphabet, Microsoft, and Meta are collectively investing $364 billion in AI by 2025, up from prior estimates of $325 billion. Alibaba’s cloud business growth, with AI and cloud as key growth drivers, has surged, attracting investments like Cathie Wood’s purchase of $16 billion in Alibaba stock.

Read more at Yahoo Finance: Alibaba stock soars on expected AI spend, Nvidia pact