Alibaba Cloud Founder on China’s AI Future

Key Takeaways

We know the innovation cycle in in Chinese AI has been very fast. >> Yeah. Yeah. >> But what what happens if that slows down? I mean sometimes people I'm hearing concerns for instance Deepseek hasn't released a second reasoning model. I mean is that something that you need to be worried about? >> Uh let's see. I would say as just like a single organization or single person you really cannot go that fast for a long time. Okay. And you know you you collapse. Okay. like you know I can work like for three days and without any sleep but but not anymore okay that not anymore and you really cannot like work 30 days I don't have any sleep okay no way you can do that >> work ethic in China but >> but I would say collectively >> we can have a very fast iteration okay like >> so that's why I really like a stubborn stubborn uh mindset so basically you know like deepse could do something very fast Okay. >> And and then we we also have queen. Okay. >> And then we have then we have Kimi. Okay. So so so collectively and we can push that fast. I think that's okay. That's what I that's what I think it's important otherwise why we need that population. Okay. So that's why you know when people get together and uh it it's not just for uh you know competition whether you win or not. It's basically you can have the very fast iteration of the technology because of this computation or because you know and and and you you work fast this time and you slow bit and then other guy move very fast >> and eventually to be slow down and if you're good enough you can catch again and uh it's a I don't think it's brutal but I think it's it's very healthy because and uh and when we work with the people that is very competitive >> that would be make you much more competitive because that was the way how how accessing the new technology would be invented. Yeah. >> Yeah. You're talking I guess about more of a marathon not just a sprint race. >> Yes. >> Are is there space though for new contestants to enter that race today? >> Uh I would say at least for AI it's a marathon >> because I I think nobody could really see you know I if it's a long journey It it's definitely in the in the very beginning. Okay. >> I think something that we see right now is is certainly money that's being directed at at strong talent. Yeah. And and there's stories of course in in Silicon Valley we see of people that are getting hundreds of millions of dollars. >> What do you think about that? >> Uh I I think it's I don't think it's it's the let's see it's a typical way of doing things. Okay, I will see that the reason very simple you know is my own example when I when I start the uh the the the Alibaba cloud you know the first thing I did that was in 2008 the first I did v the Silicon Valley and to try to get tenant okay >> and uh and after talking to all the people and you realize actually we don't have much tenant there because it's Okay. >> So, and also with some of the talent it's just too expensive. Okay. And uh too expensive basically means okay uh you don't know whether the competenc is there. >> Why need high when why need hide the people? So it's really about innovation. So when you're in the early stage of innovation, I don't think a talent is a problem because you know have the only thing you need to do is to get the right person >> not really is the expensive person because if the new business uh if this true innovation that basically mean the talent nobody care about them okay >> other working on that >> so for the today what happened for the like matter is because they are very much focused on the existing success of the business and existing establish of technology that's the that that's that's that's my view okay so I think we have a tremendous opportunity to look at technology nobody knows today and these talent these are talent but but these are I I I can't say it's cheap but but it's you it's available for you okay so that's really about the vision you know where you want to where you want to go and uh there's a lot of similar things you know happened during the last 20 years or so whenever everybody knows that these are talent and uh it's better for you not to get in >> and at least that's not new that's that's my that's my so like personally that I hide the sojing now he's head he he's a leader for the queen okay you We met him, you know, when you were in Hanzo, you know, I personally interviewed him, you know, 15 years ago and we got talented. Now he's leading the queen. >> Yeah. But so that that that's >> so there's not really there's not really any justification then it sounds like you think for for such you that's not you know what the math you know I'm sorry that what what the what happened in Silicon Valley is not the the the the winning formula. That's what I >> That's what I believe, you know. Yeah.