--- title: "Alibaba (BABA) Upgrades Qwen AI Model as China's Tech Giants Battle for Users" description: "Alibaba has upgraded its AI model to Qwen3.5, enhancing its capabilities in text, image, and video processing. This move comes amid intensifying competition in China's AI sector, with rivals like Baid" type: "news" locale: "en" url: "https://longbridge.com/en/news/276055492.md" published_at: "2026-02-16T11:55:09.000Z" --- # Alibaba (BABA) Upgrades Qwen AI Model as China's Tech Giants Battle for Users > Alibaba has upgraded its AI model to Qwen3.5, enhancing its capabilities in text, image, and video processing. This move comes amid intensifying competition in China's AI sector, with rivals like Baidu and Tencent also launching upgrades. Alibaba is investing heavily in AI and cloud systems, expanding its Qwen app to include services like food delivery and travel bookings. Analysts are optimistic about Alibaba's stock, with a Strong Buy consensus and a price target suggesting a potential upside of over 30%. Alibaba (BABA) refreshed its flagship AI model with a new Qwen3.5 upgrade, stepping up its push in China's rapidly developing artificial intelligence space. ### President's Day Sale - 70% Off - Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions - Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential The updated model can understand text, images, and video and is built to handle "AI agent" tasks, allowing it to act on a user's behalf. It can also review videos up to two hours long, supporting uses such as research, shopping assistance, and automated services. ## **AI Competition Intensifies in China** The release comes just as China's AI sector prepares for another wave of product launches. Rivals including Baidu (BIDU) and Tencent Holdings (TCEHY), along with several startups, have recently rolled out upgrades of their own. The companies are also preparing for a widely expected new platform from DeepSeek. The timing also matters because the Lunar New Year holiday brings a surge in app usage across China, making it an important period for testing whether new services can attract and retain users. Competition is also moving beyond technology. Alibaba, Baidu, and Tencent are offering cash rewards and promotions to draw users to their chatbots and secure market share early while adoption is still developing. ## **Alibaba Expands Its AI Strategy** Alibaba has been increasing its focus on AI since last year's surge in interest in AI models. The company plans to spend tens of billions of dollars on cloud systems and AI tools, seeing the technology as a key growth area beyond online shopping. The Qwen app is also expanding into a broader service platform linked to Alibaba's ecosystem. Last month, Alibaba upgraded Qwen so users can order food delivery, book travel, and make payments directly within the chat. Users can now handle everyday tasks inside the app through its AI assistants. ## **Is Alibaba Stock a Good Buy Right Now?** Analysts remain highly bullish about Alibaba's stock trajectory. With 15 unanimous Buy ratings, BABA stock commands a Strong Buy consensus rating on TipRanks. Also, the average Alibaba price target of $203.09 implies about 30.41% upside potential from current levels. ### Related Stocks - [BABA.US - Alibaba](https://longbridge.com/en/quote/BABA.US.md) - [09988.HK - BABA-W](https://longbridge.com/en/quote/09988.HK.md) - [BIDU.US - Baidu](https://longbridge.com/en/quote/BIDU.US.md) - [TCTZF.US - Tencent Holdings Limited](https://longbridge.com/en/quote/TCTZF.US.md) - [09888.HK - BIDU-SW](https://longbridge.com/en/quote/09888.HK.md) - [TCEHY.US - Tencent](https://longbridge.com/en/quote/TCEHY.US.md) - [PGJ.US - Invesco Golden Dragon China](https://longbridge.com/en/quote/PGJ.US.md) - [513770.CN - Hwabao CSI HK Equities Internet ETF](https://longbridge.com/en/quote/513770.CN.md) - [513040.CN - E Fund CSI HK Connect Internet ETF](https://longbridge.com/en/quote/513040.CN.md) - [EBIZ.US - Global X E-commerce ETF](https://longbridge.com/en/quote/EBIZ.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | 阿里发布千问 3.5，性能媲美 Gemini 3， Token 价格仅为其 1/18 | 阿里巴巴于 2 月 16 日发布了新一代大模型千问 Qwen3.5-Plus，性能媲美 Gemini 3 Pro，成为全球最强开源模型。该模型参数为 3970 亿，推理效率显著提升，API 价格为每百万 Token 仅 0.8 元，为 Ge | [Link](https://longbridge.com/en/news/276045921.md) | | 阿里巴巴发布了新款 Qwen3.5 模型，以迎接 “代理 AI 时代” | 阿里巴巴推出了其新的人工智能模型 Qwen 3.5，该模型旨在独立执行任务，并具有显著的性能提升。该模型的成本比其前身低 60%，效率提高了八倍。此次发布旨在增强阿里巴巴的 Qwen 聊天机器人应用在与字节跳动的 Doubao 等竞争对手之 | [Link](https://longbridge.com/en/news/276045126.md) | | 每千次展示 60 美元！OpenAI 用高价拉开 “AI 广告” 大幕 | 为应对 AI 巨额开支，OpenAI 正式测试广告，CPM60 美元起步、最低投入 20 万美元，定位高端渠道，直接挑战谷歌万亿美元市场，WPP 等顶级代理已率先合作。但转型风险并存：需平衡用户信任，承诺不用私聊数据；对手 Anthropi | [Link](https://longbridge.com/en/news/275993077.md) | | 影响万亿资本的市场叙事争夺：一边是 “AI 颠覆一切”，一边是 “AI 回报不够” | 市场正陷入 “AI 颠覆一切” 与 “AI 回报不够” 的双重叙事博弈：前者引发对软件等 “受害者” 的恐慌性抛售（估值腰斩），后者则加剧对资本开支回报的严厉审视。资金正加速流向非美市场，韩国 KOSPI 创五年最佳单周表现，非美基金流入 | [Link](https://longbridge.com/en/news/275990693.md) | | 木头姐：这轮市场波动是算法导致，而非基本面 | 木头姐凯茜·伍德称，近期市场急涨急跌 “多由算法交易制造”，程序化减仓与技术面交易容易形成连锁踩踏，导致 “先卖再问” 的非理性波动，而卖出的人很可能要后悔。她强调 AI 是毕生最大机遇，当前市场处于类似 1996 年的早期阶段，科技巨头激 | [Link](https://longbridge.com/en/news/276045627.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.