Wednesday, September 24, 2025

Alibaba Integrates Nvidia’s Physical AI Development Tools into Its AI Platform

Nvidia is actively pursuing strategic partnerships, recently investing $5 billion in Intel and a remarkable $100 billion in OpenAI. Now, the GPU leader has teamed up with China’s Alibaba to enhance its AI offerings. Alibaba will integrate Nvidia’s AI tools for robotics, self-driving cars, and connected spaces into its Cloud Platform for AI. This includes utilizing Nvidia’s Physical AI software stack to create 3D replicas of real-world environments, generating synthetic data for training AI models applicable in various domains such as smart manufacturing.

Financial specifics of this collaboration remain undisclosed, but it signifies a notable alliance between a premier chip developer and a cloud services leader. Concurrently, Alibaba is intensifying its investment in AI tech beyond its original $50 billion budget, launching new data centers in Brazil, France, and the Netherlands, and expanding globally across 91 locations. The company also introduced its latest large language model, Qwen 3-Max, boasting 1 trillion parameters for advanced coding and agentic applications.

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