The Chinese technology company improved its relationship with the Xi Jinping government. However, those responsible alert about the level of investments in the US.
The president of Alibaba, Joe Tsai, expressed his concern regarding the increase in investments in artificial intelligence (AI) in the United States. The businessman suggested that the trend could indicate the beginning of a financial bubble.
During his speech at the Global HSBC Investment Conference in Hong Kong, Tsai expressed his astonishment to the enormous commitments, such as that of the joint company Stargate for US $ 500,000 million that involves Openai, Softbank Group and Oracle. Criticism was supported that contracts with customers are not insured, so the investment level could exceed the demand.
Gene Munster, director and co -founder of Deep Water Management, offered an analysis in an X publication, noting that Tsai’s words They contrast markedly with the recent forecasts of American technological giantswhich increased their spending projections by 2025 from 20% to more than 40%.
Munster believes that these opposing narratives can reflect regional differences Among the Chinese and Western markets, rather than pointing to a slowdown throughout the industry. Despite these concerns, Munster maintains his conviction that the construction of AI infrastructure will continue as planned, supporting his prediction of a bullish market driven by AI that will last at least two more years.
Alibaba hires workers again
Besides, The head of Alibaba announced that the company will resume hiring, after an important meeting with Chinese President Xi Jinping and outstanding figures of the Chinese technology industry. Tsai praised the meeting as a “very, very clear signal” that Beijing is encouraging companies to reinvest and expand their workforce, marking a departure from the strict regulatory measures imposed four years ago that the investment had damping and provoked cuts of jobs throughout the sector.
The Conference with Xi Jinping, which also included Alibaba’s co -founder, Jack Ma, is seen as a crucial moment that means a warming of relations between the Chinese government and the technology industry. From the sector they see the news with optimism and as a green light for the industry to seek growth and development.
Source: Ambito
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