Alibaba makes major AI chip move as Nvidia faces new threat Faizan Farooque Wed, November 11, 2026 at 6:14 AM EST 1 min read BABA +0.43% NVDA +4.03% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Alibaba Group Holding Ltd. (BABA, Financials) is moving forward with plans to list its artificial intelligence chip business in Hong Kong, offering investors a chance to participate directly in one of the company's major technological businesses.Alibaba said on Tuesday its semiconductor subsidiary T-Head has filed a secret IPO application on Sept. 11 after the Hong Kong Stock Exchange approved the proposed spin-off to continue.The business has not said how much it would raise, how the offering will be structured or what percentage it will keep after the listing.Alibaba claimed that spinning out T-Head might let the firm raise money independently and allow investors to better evaluate its semiconductor activities.T-Head, founded in 2018, makes processors for AI computing and cloud infrastructure.Its relevance has grown as Chinese IT firms seek alternatives to sophisticated processors like Nvidia amid U.S. export restrictions.Alibaba in September rolled out its Zhenwu V900 processor, which it says provides three times the performance of its previous-generation technology.The processor is meant for the training and operation of complex AI models.Alibaba isn't the only one looking to spin off its semiconductor business. Baidu's semiconductor arm Kunlunxin also filed for a Hong Kong IPO in January, although on a secret basis.Shares of Alibaba fell 2.9% in Hong Kong on Tuesday, bringing their year-to-date loss to about 30%.The next steps are to receive the remaining regulatory clearances and to announce the amount, value and timeline of the offering.
