Alibaba AI outlays dent profit despite best revenue growth in years

TechnologyCapex surges 75% on year as group braces for agent demand, faces higher chip costsAlibaba is spending big on its AI ambitions. © ReutersCISSY ZHOUAugust 20, 2026 19:57 JSTHONG KONG -- Alibaba Group's profit for the April-June quarter shrank 75% to 10.44 billion yuan ($1.55 billion), the Chinese conglomerate said on Thursday, missing estimates as the company continued to invest massively in artificial intelligence.