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Alibaba Drops as AI Spin-Off Aims for Hong Kong IPO

Wednesday, Jul 16, 2025 1:57 pm ETnullmin read

Aime Summary

- Alibaba's stock fell after its AI division announced plans for a Hong Kong IPO, seeking to raise capital through the spin-off.

- Investors expressed concerns over valuation risks and potential dilution of corporate focus amid rising AI sector competition.

- The move highlights strategic shifts in Alibaba's tech priorities while testing market confidence in its AI ventures' growth prospects.

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