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Alibaba Cloud to Support Meta AI Model for Chinese Users. Why It’s a Big Deal.

Alibaba’s
cloud unit is bringing
Meta
Platform’s open-source artificial intelligence model to its clients, in a significant moment for the global AI race.

The move will allow Chinese businesses and developers to use
Meta’s
model. It’s a bit of a surprise, given
Alibaba
(ticker: BABA) has been developing its own AI model—Tongyi Qianwen—in recent months. It also has potential geopolitical ramifications considering U.S. attempts to limit Chinese access to American AI technology. 

“Alibaba Cloud has launched the first training and deployment solution for the entire Llama 2 series in China, welcoming all developers to create customized large models on Alibaba Cloud,” it said in a statement on its
WeChat
account, reported by Reuters.

Meta (META) released its new AI language model, Llama 2, earlier this month as free open—source software, meaning it can be used, shared, and modified.
Microsoft
announced it will make Llama 2 available to its cloud customers on its Azure platform last month.

Meta said Microsoft was its preferred partner for the open-source AI model but that it was open to anyone for research and commercial use.

Meta stock climbed 1.8% in premarket trading Wednesday, while Alibaba’s American depositary receipts rose 0.9%.

Write to Callum Keown at [email protected]

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