Alibaba Expands Into Physical AI With New Robotics Team

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Chinese tech giant Alibaba is making a significant move into the physical world by forming a dedicated robotics and embodied intelligence team. The new group will operate within Qwen, the company’s foundational AI models unit, signaling a strategic push to translate its advancements in multimodal AI into real-world applications.

Bridging Virtual AI and the Physical World

The initiative was confirmed by Justin Lin, head of Alibaba’s Qwen large language model, who stated the team’s mission is to explore how multimodal AI can power tangible robotics. Lin emphasized that foundational AI models are evolving beyond simple text or image processing into “foundation agents” capable of using tools and memory for complex reasoning. “They should definitely step from the virtual world to the physical world,” he noted, highlighting the ambition to create intelligent systems that can perceive and interact with their surroundings.

A Strategic Push Amidst a Global Robotics Race

Alibaba’s move is part of a broader industry trend where major tech players are investing heavily in smart robotics. The announcement follows Alibaba Cloud’s recent co-leading of a US$140 million funding round for Chinese robotics startup X Square Robot. This aligns with CEO Eddie Wu’s projection that global AI investment could surge to US$4 trillion over the next five years. The competitive landscape is heating up, with companies like Nvidia and SoftBank also making substantial investments in robotics, underscoring the sector’s growing importance.

Implications for the MENA Tech Ecosystem

While Alibaba’s focus is global, this development serves as a critical indicator for the MENA region’s burgeoning tech scene. As global giants validate the market for embodied AI, it creates a ripple effect for MENA founders and VCs. The push into AI-powered robotics opens up new investment theses and encourages regional startups to explore applications in logistics, manufacturing, smart city infrastructure, and healthcare. Furthermore, it highlights the increasing need for specialized talent in AI and robotics within MENA to both innovate and integrate these advanced technologies.

About Alibaba

Alibaba Group is a Chinese multinational technology company specializing in e-commerce, retail, internet, and technology. Founded in 1999, it provides consumer-to-consumer (C2C), business-to-consumer (B2C), and business-to-business (B2B) sales services via web portals, as well as electronic payment services, shopping search engines, and cloud computing services.

Source: Tech in Asia

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