Alibaba Rekindles Hiring Amid Tech Boom and AI Bubble Concerns

Alibaba Group Chairman Joe Tsai announced the restart of hiring, spurred by renewed confidence following a significant meeting with President Xi Jinping. The tech sector is witnessing growth, whereas concerns about an AI investment bubble in the U.S. loom large, prompting caution.

Alibaba Group Chairman Joe Tsai has announced plans to restart hiring, signaling renewed confidence following President Xi Jinping's February meeting with major business figures, including Alibaba's co-founder Jack Ma. This event indicated a shift in Beijing's approach to the technology sector, previously marked by stringent regulatory measures.

Speaking at HSBC's Global Investment Summit, Tsai emphasized the importance of hiring to boost job security and consumer confidence. He noted that Alibaba had experienced a decline in headcount over the past three years, reflecting economic challenges, including weak growth and a real estate debt crisis.

Despite committing substantial investments in AI, Tsai voiced concerns over excessive AI investment in the U.S., fearing an emerging bubble. Nonetheless, China's tech sector is buoyed by successful ventures like DeepSeek, and Alibaba itself plans significant future investments in cloud computing and AI infrastructure.

(With inputs from agencies.)