The cloud unit of Chinese company Alibaba is predicted to go through profit by next year. The tech company’s chief financial officer, Maggie Wu talked about this during an investor day event that was live-streamed.
Currently, the company is facing issues regarding its domestic competitor Tencent which is also in the same field of gathering cloud business opportunities.
Over the next three year, Alibaba will be investing 200 billion yuan (A$41.09 billion) into its cloud infrastructure.
The company’s cloud computing revenue boosted by 59% in the June quarter compared to the previous year of 12,345 million yuan on higher revenue contribution from its public cloud and hybrid cloud businesses.
We also said, the company’s logistics unit, Cainiao, will most likely see its operating cash flow switch to being more advantageous in its fiscal year, 2021.