Alibaba Expands AI Push With Model Update, New Chip
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Alibaba Group Holding Ltd. has unveiled a new AI chip and an update to its flagship large language model, as the company expands its offerings for AI applications.
The launches come as the company’s large language model business has grown rapidly since the start of this year, with average daily token revenue surging fifteenfold amid strong demand for its AI cloud, model and inference services.
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- Alibaba launched Zhenwu M890 AI chip (3x performance, 144GB memory) and Panjiu AL128 server; next-gen V900 due 2027.
- Released Qwen3.7-Max LLM for agent coding; scored 56.6 across 10 benchmarks, ranking 5th globally.
- Daily token revenue surged 15x since 2025 start; Zhenwu chips used by 400+ customers in 20 industries.
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Who’s Who
- Alibaba Group Holding Ltd.
- Alibaba Group Holding Ltd. unveiled the Zhenwu M890 AI chip with triple performance and the Qwen3.7-Max AI model. Its AI cloud services saw daily token revenue surge fifteenfold. The chip serves over 400 customers across 20+ industries, with a next-gen V900 planned for 2027.
- T-Head
- T-Head, Alibaba's semiconductor unit, unveiled the Zhenwu M890 AI chip with 3x performance over its predecessor, featuring 144GB memory and 800GB/s bandwidth. It also launched the Panjiu AL128 supernode server. Over 400 customers use Zhenwu chips. The next-generation Zhenwu V900 is expected in Q3 2027.
- China Telecom Corp. Ltd.
- China Telecom Corp. Ltd. is a customer of Alibaba’s T-Head semiconductor unit, using its Zhenwu AI chips for model training and inference. The chips are deployed across over 20 industries, with China Telecom among more than 400 users benefiting from enhanced performance.
- China FAW Group Co. Ltd.
- China FAW Group Co. Ltd. is a customer of Alibaba's T-Head Zhenwu AI chips, as mentioned in a recent article. It is among over 400 clients from more than 20 industries using these chips for AI model training and inference.
- Shanghai Pudong Development Bank Co. Ltd.
- Shanghai Pudong Development Bank Co. Ltd. is a customer of Alibaba's T-Head semiconductor unit. It uses Zhenwu AI chips for model training and inference, as noted in the article about Alibaba's AI chip launch and large language model updates.
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What Happened When
- Since start of 2026：
- Alibaba's large language model business experienced rapid growth, with average daily token revenue surging fifteenfold.
- 2026-05-20：
- Alibaba's semiconductor unit T-Head released the Zhenwu M890 AI chip and the Panjiu AL128 supernode server at a company event.
- 2026-05-20：
- Alibaba released the Qwen3.7-Max upgraded version of its flagship AI model at the same event.
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