Everything on Profitability

Alibaba's net profit dropped 70% despite strong AI cloud growth, due to aggressive discounting in its core e-commerce business to counter competition.

Impact: This highlights the risk that AI investment may not immediately translate to bottom-line growth if legacy businesses face intense price competition.

— from Tech Debt Surge and Defense IPO Valuation · OHNE AKTIEN WIRD SCHWER - Tägliche Börsen-News· Mar 20, 2026