Alibaba’s Qwen app tops 10 million downloads in a week, signals China’s demand for local ChatGPT alternatives

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Alibaba's newly launched Qwen app has seen explosive growth, surpassing 10 million downloads within a week. This rapid adoption highlights the rising demand for local AI alternatives in China, as consumers seek to fill the void left by restricted Western services like ChatGPT.

Alibaba Group’s refreshed AI app, Qwen, has crossed 10 million downloads within a week of its relaunch, a milestone that lifted the company’s Hong Kong-listed shares more than 5% on Monday.
Alibaba Group’s refreshed AI app, Qwen, has crossed 10 million downloads within a week of its relaunch, a milestone that lifted the company’s Hong Kong-listed shares more than 5% on Monday. (REUTERS)

Alibaba Group’s refreshed AI app, Qwen, has crossed 10 million downloads within a week of its relaunch, a milestone that lifted the company’s Hong Kong-listed shares more than 5% on Monday. The surge reflects growing demand for consumer-facing AI tools in China, where access to competing Western services such as OpenAI’s ChatGPT remains restricted.

A rapid start for Alibaba’s AI push

The download figure, revealed in a post on WeChat, follows Alibaba’s decision to consolidate and rebrand several existing iOS and Android apps under the Qwen label. The move marks the start of a broader effort to establish a home-grown rival to global AI services and strengthen the company’s consumer ecosystem.

Qwen’s early momentum places it among the fastest-growing AI apps outside Meta’s Threads, which benefited from deep integration with Facebook and Instagram. Its swift rise also mirrors China’s appetite for local AI products as mainland users seek alternatives to services unavailable in the region.

Market optimism as Alibaba repositions itself

Analysts say the app’s strong debut could prove significant for Alibaba’s long-term valuation. Kenny Ng, strategist at China Everbright Securities International, noted that the market sees Qwen as central to Alibaba’s efforts to benchmark itself against OpenAI and reinvigorate its consumer business.

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Alibaba plans to gradually layer in more advanced, agent-style capabilities in the months ahead. These will support tasks linked to online shopping and lifestyle services across the company’s platforms, including Taobao.(AI-generated graphic)

The upbeat sentiment also comes as Ant Group, Alibaba’s fintech affiliate, announced that its new multimodal assistant, LingGuang, had surpassed one million downloads in its first four days.

What all features will be added to Qwen app?

Alibaba plans to gradually layer in more advanced, agent-style capabilities in the months ahead. These will support tasks linked to online shopping and lifestyle services across the company’s platforms, including Taobao.

The company said Qwen will ultimately integrate functions such as mapping, food delivery, travel reservations, office tools, education services and health-related guidance, part of Alibaba’s transition to an “AI-first” strategy under Chief Executive Eddie Wu.

(With inputs from Bloomberg)

Key Takeaways

  • Qwen's rapid downloads indicate a strong consumer demand for local AI solutions in China.
  • The app's success reflects Alibaba's strategic shift towards an 'AI-first' approach.
  • Qwen's integration of diverse functionalities may enhance Alibaba's consumer ecosystem and competitive edge.
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