Wall Street Breakfast Alibaba to boost AI investment
5 snips
Sep 24, 2025 Alibaba is making waves with plans to significantly increase its AI investment, surpassing $50 billion. Meanwhile, Ford is attracting riskier borrowers by offering lower rates on F-150 pickups to maintain sales momentum. In another twist, the Trump administration is reportedly looking to take an equity stake in Lithium Americas, while Micron anticipates heightened AI demand affecting DRAM supply. Plus, notable movements in the market with COHU's drop due to a convertible note offering and updates on major commodities and indexes.
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Alibaba Doubles Down On AI Infrastructure
- Alibaba plans to increase AI capital spending beyond an already huge $53 billion three-year plan to stay competitive in a projected multi-trillion-dollar AI shift.
- The company also launched an open-source multimodal LLM that handles text, images, audio, and video to bolster its AI platform.
Trillions In AI Spending Loom
- Eddie Wu expects AI investments to accelerate toward a multi-trillion-dollar opportunity globally over the next five years, implying massive industry-wide capex growth.
- Alibaba feels pressure to scale AI spending to keep pace with that anticipated acceleration.
Act Fast On Ford's Short-Term Rates
- Ford is lowering interest rates for buyers with the weakest acceptable credit to boost F-150 sales and move inventory quickly.
- The program is temporary and not expected to continue beyond the end of the month, so act quickly if eligible.