Analysts expect the Chinese tech giant to report more than 50 percent growth in AI cloud revenue for the September quarter.

Alibaba’s AI Cloud Business Set For Big Growth
Alibaba Group Holding could see its AI cloud revenue jump by over 50 percent this quarter, according to analysts. They say the company’s aggressive AI spending is now paying off. The gains are expected to show up clearly in upcoming earnings.
Growth Accelerates From Previous Quarter
Several financial institutions expect growth in Alibaba’s AI Cloud and Compute Services unit to speed up. This covers the three months ending September 30. That pace would top the 45 percent growth the unit posted last quarter.
Profit Margins Also Expected To Improve
Analysts also expect profit margins to rise at the unit. This would mark real progress as Alibaba works to turn its heavy AI investments into solid earnings. It would be a strong signal for investors watching the company’s AI strategy.







