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Alibaba Group adjusts its strategic layout, and DingTalk will operate independently.

Alibaba Group adjusts its strategic layout, and DingTalk will operate independently.

TraderKnowsTraderKnows
2024-05-07
Summary：Alibaba's work platform, DingTalk, will operate independently from Cloud Intelligence while maintaining technical cooperation with the cloud division. The separation timeline and IPO plans for DingTalk are not yet decided.

According to two sources close to the company, Alibaba Group's work communication and collaboration platform, DingTalk, will no longer be under Cloud Intelligence, indicating that DingTalk will operate independently.

One source stated that DingTalk will operate as a wholly-owned subsidiary of Alibaba Holding Group, and its business operations will continue as normal. Alibaba Cloud Intelligence did not immediately respond to this.

Although DingTalk will structurally separate from Alibaba Cloud Intelligence, sources indicated that it will continue to work closely with the cloud division in terms of technology, involving sharing technology, resources, and expertise, to ensure DingTalk continues to receive technical support and provides high-quality services.

Sources were unable to confirm the exact timing of this separation or media reports about DingTalk's potential IPO in the near future. Alibaba Cloud itself is also working towards an IPO, previously stating it would be the first among the group's newly established six business units to do so. This tech giant announced its separation in March, indicating that Cloud Intelligence might pursue an IPO before May next year.

Alibaba Group's first-quarter performance, announced last week, exceeded expectations, but its Cloud Intelligence Group's revenue growth was particularly weak, only accounting for 4% of the group's business units.

Risk Warning and Disclaimer

The market carries risks, and investment should be cautious. This article does not constitute personal investment advice and has not taken into account individual users' specific investment goals, financial situations, or needs. Users should consider whether any opinions, viewpoints, or conclusions in this article are suitable for their particular circumstances. Investing based on this is at one's own responsibility.

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