Alibaba accelerates despite U.S. restrictions with a chip three times more powerful

Alibaba is simultaneously advancing its chips, models, and data centers to reduce its reliance on foreign technologies. At its Apsara conference in Hangzhou on Tuesday, September 22, it unveiled the Zhenwu V900, developed by its subsidiary T-Head, along with a new plan to expand its artificial intelligence capabilities.

The V900 is expected to deliver three times the performance of the M890, the previous generation introduced in May. Alibaba claims that its systems can be clustered with up to 500,000 chips, while mass production and commercialization of the new processor are slated for early 2027.

The company is also preparing an artificial intelligence model with 5,000 to 10,000 billion parameters, compared to 2,400 billion for Qwen3.8-Max. The number of parameters measures the scale of a model, but it is not the sole determinant of its performance.

Alibaba Cloud also aims to increase its global data center capacity to over 20 gigawatts by 2032. In Hong Kong, Alibaba’s stock rose by 5.1% on Tuesday, reaching its highest level in about a month following the announcements.

This acceleration comes as the United States restricts China’s access to the most advanced artificial intelligence chips. Washington has also accused several Chinese companies of using American models to train their own systems, a case already detailed by Bénin Web TV.

Earlier in 2026, Alibaba announced a 380 billion yuan program, approximately 53 billion dollars, dedicated to cloud and artificial intelligence over three years. The V900 is set to enter mass production in the first quarter of 2027.