Alibaba announced the launch of its new consumer‑AI chatbot, Qwen, on November 18 2025. The public beta of the Qwen App went live the day before, on November 17, and the product is a re‑branding of the earlier Tongyi app, which had 6.96 million monthly active users in September 2025—far below competitors such as ByteDance’s Doubao, which reported 150 million MAUs.
Qwen is powered by Alibaba’s Qwen3 large‑language model and offers a range of advanced capabilities beyond simple conversation. The app can generate research reports, create multi‑slide presentations, assist with coding, and support multimodal inputs like voice and camera. It is positioned as a “smart personal assistant” that can not only chat but also complete tasks such as shopping, booking, and logistics, leveraging Alibaba’s e‑commerce, cloud, and logistics ecosystems.
The launch is part of a broader, high‑stakes investment plan that sees Alibaba committing at least RMB 380 billion (US $53 billion) over the next three years to AI infrastructure, foundational models, and AI‑native applications. CEO Eddie Wu has described AI as a “once‑in‑a‑generation” opportunity and emphasized a user‑first, AI‑driven approach, underscoring the company’s intent to monetize the technology through its core e‑commerce platform and to build a unified “super‑app” for the AI era.
In China’s crowded consumer‑AI market, Alibaba faces intense competition from ByteDance’s Doubao, Tencent’s Yuanbao, and DeepSeek, all of whom are engaging in a price war on model usage. Alibaba’s strategy to reduce the cost of its Qwen3‑Max model and to open‑source the Qwen family is aimed at attracting developers and accelerating adoption, while the integration of the chatbot into Taobao, Tmall, and other services seeks to convert the massive user base into new revenue streams.
Management’s comments signal confidence in the initiative. Wu said the company’s AI investments would “unlock new growth engines” and that the Qwen App would “drive user engagement and create new monetization opportunities.” The announcement was well received by investors, reflecting optimism about Alibaba’s ability to leverage its data assets and cloud infrastructure to compete with global AI leaders.
The Qwen launch marks a decisive pivot toward consumer AI, a move that could reshape Alibaba’s revenue mix, deepen user engagement across its ecosystem, and position the company to capture a larger share of the rapidly expanding global AI market. The strategic focus on integration, cost competitiveness, and developer openness signals a long‑term commitment to building a sustainable AI‑driven business.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.