Recently, the concept stocks of computing power in the A-share market have witnessed a surge, with numerous stocks hitting the daily limit or achieving gains exceeding 7%. Alibaba's inaugural fiscal quarter report for fiscal year 2026 revealed a 26% year-on-year increase in revenue for its Alibaba Cloud business, accompanied by triple-digit growth in AI-related revenue. This robust growth trend has fueled a heightened demand for public cloud services, including computing and storage. Notably, in the second quarter of 2025, Alibaba's capital expenditure soared to 38.6 billion yuan, marking a 220% year-on-year increase and setting a new record high for a single quarter. Over the past four quarters, Alibaba has invested over 100 billion yuan in R&D for AI infrastructure and products, with plans to allocate an additional 380 billion yuan towards AI infrastructure construction over the next three years.

Amid the increasing capital expenditures by internet giants and the accelerated mass production of domestic AI chips, the market holds a generally optimistic outlook for the long-term growth trend in demand for domestic computing power. Consequently, there are expectations that the IDC industry will embark on a new round of bidding.