In the push to launch its own version of ChatGPT, Alibaba Cloud will need to take into account the impact of regulations in China and the influence of competitors.
Alibaba Cloud, one of the main subsidiaries of Chinese multinational tech giant Alibaba Group Holdings Ltd (HKG: 9988), is set to launch its own rival ChatGPT in what has become quite the frenzy in today’s tech world. As reported Per Bloomberg, Alibaba Cloud has been sending invite codes to some of its corporate customers to help them test the new app using Large Language Models (LLMs), which is the brains behind how ChatGPT works.
The name of the tech giant’s new app is “Tongyi Qianwen” notably adapted in part from the philosopher Mencius. The name translates to “The Truth of a Thousand Questions” and aptly describes the role the new app will play in Alibaba’s tech ecosystem.
The fact that every tech company is looking to launch their own conversational chatbot is no coincidence, as the fight for dominance in search engines and digital advertising rises to a whole new pedestal. The arrival of OpenAI’s ChatGPT saw over 100 million users in the first few months, sparking a shift in the conversational focus of chat applications.
While it’s unclear how Alibaba expects to use its own version of ChatGPT, the tech giant powers some of the most-visited apps in China and the Asian mainland, from WeChat to the company’s e-commerce marketplace.
With the trial, Alibaba wants users to record and report their findings, but as noted, the chatbot may only work for Chinese users, as the language of instruction is Mandarin. The proposed launch time could be revealed next when Alibaba Cloud CEO Daniel Zhang delivers a speech at a tech summit the company is hosting.
Alibaba Cloud and ChatGPT: regulation and competition
In the push to launch its own version of ChatGPT, Alibaba Cloud will need to take into account the impact of regulations in China and the influence of competitors.
The Chinese tech ecosystem is experiencing some forms of freedom, as the Xi Jinping government has been attacking the sector since 2020. While there are regulations governing AI, there are concerns that they may not account for the level of sophistication that the LLM applications can enter.
Although the clamor for the ChatGPT-like app is most popular among American companies like Alphabet Inc (NASDAQ:GOOGL) and Microsoft Corporation (NASDAQ:MSFT), Chinese companies are also beginning to foray into the industry with definite interest.
For Alibaba Clouds to prosper in its long-term pursuit, it must factor in the impact of competition from companies like Baidu Inc, which has introduced Ernie, its own chatbot built on similar technology.
Alibaba investors are excited about the latest developments and the price has risen 2.20% in the last 24 hours to HK$97.75.
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Benjamin Godfrey is a blockchain enthusiast and journalist who enjoys writing about the real-life applications of blockchain technology and innovations to drive mainstream acceptance and global integration of emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain-based sites and media. Benjamin Godfrey is a lover of sports and agriculture.
