🧔♂️ A friendly human may check it before it goes live. More news here
Alibaba revenue rises 5% to $34.8b on AI, cloud growth
Alibaba reported a 5% year-on-year rise in revenue to RMB 247.8 billion (US$34.8 billion) for the quarter ended September 30, 2025.
Operating income dropped 85% to RMB 5.4 billion (US$754 million), while net income attributable to shareholders fell 53% to RMB 21 billion (US$3 billion).
The company’s cloud business reported revenue rise 34%, with Alibaba citing investment in AI and cloud infrastructure as a driver.
Adjusted EBITDA, a non-GAAP metric, dropped 78% to RMB9.1 billion (US$1.3 billion), and non-GAAP net income fell 72% to RMB10.4 billion (US$1.5 billion).
Net cash from operating activities fell 68% to RMB10.1 billion (US$1.4 billion), while free cash flow turned negative at RMB21.8 billion (US$3.1 billion) due to higher spending on cloud and quick commerce.
For the six months ended September 30, revenue was up 3% to RMB495.4 billion (US$69.6 billion), while net income declined 7% compared to the previous year.
🔗 Source: Alibaba
🧠 Food for thought
Implications, context, and why it matters.
Cloud price cuts in key markets ramp up pressure on multicloud vendors and MSPs
- Alibaba Cloud cut Elastic Compute Service prices by up to 10.2% in Frankfurt, Tokyo, and Dubai 2. The change takes effect on Oct. 30, 2025.
- Multicloud vendors (software and service providers that help enterprises run across multiple cloud platforms) and managed service providers (MSPs) can pitch migration and cost optimization work. Enterprises on Alibaba Cloud may renegotiate contracts or test alternatives, which can spur consulting and FinOps (cloud financial operations) demand.
- The company plans new cloud regions in Brazil and France and the Netherlands 2. It will add data center capacity across five countries. Pricing pressure should help buyers, while providers and partners must stand out on performance and integration.
Recent Alibaba developments
Stay updated on the go with our mobile app.
Get latest insights with smoother, more personalized experience through TIA mobile app.