AI Disruption on the Horizon: Alibaba’s QwQ-32B Challenges DeepSeek
Alibaba shares surged after unveiling its new AI reasoning model, QwQ-32B, which the company claims rivals DeepSeek-R1. The Hong Kong-listed stock closed up 8.39%, hitting a 52-week high, while U.S.-traded shares rose 2.5% in premarket trading.
Ruxandra Iordache writes for CNBC
Alibaba shares surged on Wednesday after the Chinese behemoth revealed a new reasoning model it claims can rival DeepSeek’s global blockbuster R1. Hong Kong-listed shares of Alibaba ended the Thursday session up 8.39% — hitting a new 52-week high — with the company’s New York-trading stock rising around 2.5% in premarket deals. Alibaba shares have gained nearly 71% in Hong Kong in the year to date.
Analysts say optimism around AI could drive Alibaba’s earnings even higher.