Alibaba Cloud Increases Domain Auction Prices As AI Competition Heats Up: Report
Portfolio Pulse from Anusuya Lahiri
Alibaba Cloud has announced a significant price hike for its domain name auction platform, citing rising costs and intense AI competition. The company will also shut down data centers in India and Australia as part of an infrastructure strategy update. Despite holding a significant market share, Alibaba's stock has underperformed, losing over 23% in the last 12 months.
July 30, 2024 | 2:47 pm
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Alibaba Cloud has increased its domain auction prices due to rising costs and AI competition. The company will also shut down data centers in India and Australia. Despite holding a significant market share, Alibaba's stock has underperformed, losing over 23% in the last 12 months.
The price hike and data center shutdowns indicate cost-cutting measures and strategic shifts in response to intense competition and rising costs. This could negatively impact investor sentiment in the short term, especially given the recent underperformance of Alibaba's stock.
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