On October 7, Peter Milliken, an analyst at Deutsche Bank, highlighted in a report that Alibaba Cloud is well-positioned to emerge as a leading super artificial intelligence cloud service provider. This is attributed to its extensive global business presence, solid financial standing, and comprehensive full-stack artificial intelligence capabilities, which span models, infrastructure, chips, and software. Milliken noted that Alibaba, the Chinese internet behemoth, has strategically positioned itself in the realms of super artificial intelligence, large language model integration, and AI cloud services. This strategic layout underscores the vast potential market size in this domain, which currently has a limited number of core participants.

Milliken expressed optimism regarding Alibaba's capacity to capitalize on profit opportunities, anticipating that the company will reap the benefits of the expanding artificial intelligence workload. This, in turn, is expected to fuel faster revenue growth in its cloud business segment. Deutsche Bank has reiterated its 'buy' recommendation for Alibaba. Furthermore, it has adjusted its target price for Alibaba's American Depositary Receipts, raising it from $176 to $225, and similarly, increased its target price for Alibaba's Hong Kong-listed shares from HK$172 to HK$220.