Alibaba is attempting integrate e-commerce and improved AI functions. Photographer: Paul Yeung/Bloomberg
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Alibaba Group Holding is preparing a major redesign of its flagship mobile AI app, aiming to bring it closer in look and function to OpenAI’s ChatGPT.
The move is part of a broader push to try and narrow the gap with its major Asian competitors and eventually to build a business around individual users, according to Bloomberg.
The company is expected begin by updating its current Tongyi apps on iOS and Android and adopting a new name, Qwen, drawn from the company’s widely recognized AI model. Over the coming months, Alibaba is expected to layer in more agent-style capabilities that can help users shop across services such as Taobao.
The relaunch marks one of Alibaba’s most ambitious attempts to build consumer revenue around artifical intelligence. The online giant, like rivals ranging from startup Minimax to TikTok owner ByteDance, has been racing to release more sophisticated models in the hope of matching the performance of leading AI players such as OpenAI and DeepSeek.
The long-term objective is to turn Qwen into a fully capable AI agent; a goal that has become generally central to the retail industry on both sides of the Pacific.
Alibaba also intends to introduce a version of Qwen for international markets, and according to reports over 100 engineers from across the organization have been assigned to the redesign, part of the broader AI investment effort that Alibaba Chief Executive Eddie Wu trailed in September.
Alibaba Sees Qwen Trail Rivals
Qwen currently lags ByteDance’s Doubao and Tencent Holdings’ Yuanbao in user traction. By weaving in shopping-related tools, Alibaba appears to be leaning on its traditional strength in e-commerce to draw more people to the app, especially as e-commerce evolves towards click-from-AI models.
The company currently offers both the Tongyi consumer apps and a separate Qwen Chat app on mobile, though the latter has fewer features. It is understood that the intention is to unify these under the Qwen name and establish it as the primary product.
Alibaba wants to build on the success of its consumer connections.
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The revamped app will remain free for the present time, but building a substantial user base could give Alibaba scope to charge for consumer services later and stand out in an increasingly crowded market.
Alibaba is also preparing to overhaul the way cross-border payments move through its $35 billion e-commerce ecosystem, betting on tokenization as the next major leap in global settlement infrastructure.
Alibaba Talks Tokenization
During an interview with CNBC, Alibaba President Kuo Zhang said that the company is building a new payment network that uses a tokenized, stablecoin-like system to simplify international B2B transactions. The company is hoping to launch the platform by the end of the year.
In September, CEO Wu outlined plans for new models and a full AI stack, signaling Alibaba’s ambition to develop both consumer services and the underlying infrastructure, including chips.
Alibaba has previously tried before to bring its AI tools directly to the public. It overhauled its Quark search app earlier this year with the goal of turning it into a general-purpose AI assistant, and that app will continue to operate.
In its most recent quarter, Alibaba reported triple-digit growth in AI-related offerings, and its cloud business exceeded expectations, making it the company’s fastest-growing division.