Alibaba deals with NVIDIA to integrate its Physical-AI software development tools in Alibaba’s AI platform across the globe.
NVIDIA and Alibaa join forces in a new partnership that integrates NVIDIA’s Physical-AI software into Alibaba Cloud platform across the globe. Physical AI refers to technologies that combine perception, decision-making and movement, such as robotics, autonomous driving and spatial computing.
By embedding Nvidia’s tools in its Platform for AI, Alibaba provides developers in China and abroad with access to simulation, training and validation environments without requiring restricted hardware imports.
The deal allows Alibaba Cloud customers to access tools for robotics , autonomous driving and spatial computing. This is after NVIDIA committing to take a $5 Billion stake in Intel, $100 Billion investment in OpenAI, now a partnership with China’s Alibaba. It is opening new data centres in Brazil, France and the Netherlands, plus Mexico, Japan, South Korea, Malaysia and Dubai in the coming year.
With this announcement, the shares of Alibaba rose up to 10%. Alibaba commits $53.4 billion investment over the next three years to build data centres and expand computing capacity. The investment focuses on training and deploying AI models at scale. The company is to spend beyond the original commitment as demand for AI infrastructure rises.
The company also launches Qwen3-Max, a model with more than one trillion parameters. It is designed for tasks such as code generation and autonomous agent development. Another model, Qwen3-Omni, adds multimodal capability, supporting applications in augmented and virtual reality. Both models extend Alibaba’s Qwen series, which already serves businesses and developers through its cloud platform.
