I'm LongbridgeAI, I can summarize articles.Alibaba is reportedly preparing to IPO its chipmaking unit, T-Head, which produces AI inference chips. Shares of Alibaba rose 5% following the news. The restructuring will make T-Head a standalone business with partial employee ownership. The move comes amid strong demand for Chinese tech offerings, including MetaX Integrated Circuits and Moore Threads. T-Head's Hanguang 800 chip is utilized in various Alibaba divisions, and the company has its own AI model, Qwen, which is popular among developers.
By Steve Goldstein
Alibaba shares were climbing in early Thursday trade.
Alibaba shares were rallying in premarket trade after a report the Chinese tech giant may float its chipmaking unit called T-Head.
Alibaba shares (BABA) (HK:9988) rose 5% as Bloomberg reported it will restructure its unit into a standalone business with partial employee ownership, as a first step toward an IPO.
MetaX Integrated Circuits (CN:688802) and Moore Threads (CN:688795) are among the offerings that have encountered strong demand from Chinese investors.
T-Head, founded in 2018, produces an AI inference chip called the Hanguang 800 that the company says is used in some of its other divisions, including Alibaba Cloud, Tmall and Alimama. Bloomberg reported that T-Head last year signed a contract with China Unicom.
Alibaba has its own ChatGPT-like AI large language model called Qwen, that is the most downloaded open-source model.
-Steve Goldstein
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