CITIC Securities: Alibaba Cloud continues to accelerate, breaking through barriers in building open source ecosystem and model performance for B-end customers.

CITIC Securities' research report states that Alibaba has achieved comprehensive business reshaping by relying on the Qwen large model base, and is accelerating the construction of the B-side ecosystem with an open source strategy and strong performance. At the same time, the company is firmly increasing capital expenditures to meet the strong demand for computing power, with cloud revenue continuing to grow rapidly, verifying the closed-loop logic of "infrastructure investment-technological iteration-business monetization". Suggestions include 1) focusing on Alibaba's ecosystem players; 2) implementing Pre-AI income first, recommending the OA+ERP link; Pre-AI; 3) faster AI revenue in some segmented vertical scene; focus on cost reduction AI-coding and multi-modal; 4) local inference gradually increasing; 5) end-side AI.