Alibaba is recalibrating its artificial intelligence strategy for consumer-facing businesses. According to independent sources cited by 36Kr, the company’s smart connectivity division is now overseen by Wu Jia, president of Alibaba’s intelligent information business group. Established in 2022, this division, anchored by the Tmall Genie brand, is one of Alibaba’s few hardware-centric consumer initiatives. The division will continue to operate independently, with Song Gang, head of Tmall Genie’s business center, reporting directly to Wu.
In parallel, the Tmall Genie hardware team has started collaborating with Quark’s product team to shape the next generation of AI products. This partnership leverages Quark’s AI expertise to explore innovations like AI-powered smart glasses.
Alibaba did not respond to 36Kr’s requests for confirmation regarding these developments.
The restructuring reflects Alibaba’s broader efforts to organize its consumer-facing AI initiatives more effectively. In December 2023, the Tongyi AI application team was moved from Alibaba Cloud to the intelligent information business group under Wu’s leadership. This move appears to be part of a larger strategy to centralize its AI resources.
These moves also reflect CEO Eddie Wu’s broader leadership overhaul. Since 2024, Wu has been refreshing Alibaba’s management, prioritizing individuals born in the 1980s and 1990s to lead core initiatives. Wu’s expanded responsibilities signify his role as a key figure in Alibaba’s evolving AI strategy.
The intelligent information business group has become a focal point for Alibaba. In addition to Tongyi and Tmall Genie, the group oversees Quark, Shuqi Novel, UC Browser, and the Chaoji Huichuan advertising platform. Notably, Quark has transformed from a browser into a platform offering AI-powered search and educational tools.
This integration combines AI content, applications, and hardware into a unified framework. Foundational models rely on large volumes of interaction data and content, and this approach may help Alibaba better coordinate its AI operations.
Tmall Genie, launched in 2017 under Alibaba’s AI Labs, was initially central to the company’s internet-of-things strategy. Inspired by the global rise of smart speakers—kickstarted by Amazon’s Echo in 2014—the brand quickly became a contender alongside Baidu’s Xiaodu and Mobvoi. Internationally, it competed with Amazon’s Alexa and Apple’s HomePod. However, as smart speaker sales peaked in China in 2020 and subsequently declined, Tmall Genie shifted focus.
In 2022, the brand broadened its focus by becoming part of Alibaba’s intelligent internet business group. This move sought to integrate the company’s consumer-facing artificial intelligence-of-things (AIoT) ecosystem. Tmall Genie shifted toward B2B markets, building industry alliances and providing partners with AIoT solutions. By that year, the AliGenie system reportedly reached 40 million households, established partnerships with 1,000 IoT platforms, and supported 460 million devices.
Advances in foundational AI models, particularly in conversational interactions and intent comprehension, have rejuvenated the IoT and AI hardware segments. Tmall Genie has been quick to seize this opportunity. In May 2024, it launched the X6 smart device, integrating foundational AI services from Quark and other Alibaba divisions. A new sub-brand, XGenie, introduced products like AI-powered smart glasses, portable smart speakers, and children’s smart tablets.
This evolution reflects broader trends in China’s AI landscape. After an initial push in 2023 to develop foundational models akin to OpenAI’s GPT, the focus in 2024 shifted toward practical applications and deployment. By 2025, attention has turned to AI hardware, with smart glasses and other wearables gaining traction, as seen at the Consumer Electronics Show (CES).
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This article was written by Yong Yi for 36Kr.