Alibaba's U.S. stock pre-market rises 6% as AI accelerates the development of its cloud computing business

Alibaba (BABA.US) accelerated growth in its cloud computing business last quarter, with total revenue reaching 33.4 billion yuan, an increase of 26% compared to the same period last year, and a growth rate higher than the previous quarter's 18%. Its U.S. stock rose more than 6% before the market opened on Friday.

In the first fiscal quarter, Alibaba's revenue increased by 2% year-on-year to 247.65 billion yuan (the same below), lower than analysts' expectations, but driven by accelerated sales in the cloud computing sector and a continued recovery in e-commerce, net profit increased by 78% year-on-year to 43.11 billion yuan, far exceeding the expected 28.5 billion yuan