GoTo Signs Five-Year Cloud Deal with Alibaba, Retaining Stake
Indonesian technology giant GoTo has entered into a strategic five-year partnership with Alibaba Cloud, agreeing to utilize the Chinese firm's cloud computing and artificial intelligence services. A key component of this agreement is Alibaba's commitment to retain its existing equity stake in GoTo for the duration of the contract. This move marks a significant stabilization effort following a period of financial volatility, during which Alibaba reduced its holdings in 2022 shortly after GoTo's public listing in Jakarta. Since that initial reduction, GoTo's stock price has experienced a dramatic decline of approximately 80 percent. Selina Yuan, Vice President of Alibaba, highlighted that the collaboration merges Alibaba Cloud's advanced technological capabilities with GoTo's extensive local ecosystem. For Alibaba, this deal represents a continued push to expand its cloud computing unit's international footprint and drive growth outside of China. The partnership underscores the enduring, albeit evolving, business ties between major Asian tech players amidst challenging market conditions. By securing long-term infrastructure support and maintaining investment confidence, both companies aim to leverage their combined strengths to enhance operational efficiency and market competitiveness in the Southeast Asian digital economy.
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GoTo Signs Five-Year Cloud Deal with Alibaba, Retaining Stake
Indonesian technology giant GoTo has entered into a strategic five-year partnership with Alibaba Cloud, agreeing to utilize the Chinese firm's cloud computing and artificial intelligence services. A key component of this agreement is Alibaba's commitment to retain its existing equity stake in GoTo for the duration of the contract. This move marks a significant stabilization effort following a period of financial volatility, during which Alibaba reduced its holdings in 2022 shortly after GoTo's public listing in Jakarta. Since that initial reduction, GoTo's stock price has experienced a dramatic decline of approximately 80 percent. Selina Yuan, Vice President of Alibaba, highlighted that the collaboration merges Alibaba Cloud's advanced technological capabilities with GoTo's extensive local ecosystem. For Alibaba, this deal represents a continued push to expand its cloud computing unit's international footprint and drive growth outside of China. The partnership underscores the enduring, albeit evolving, business ties between major Asian tech players amidst challenging market conditions. By securing long-term infrastructure support and maintaining investment confidence, both companies aim to leverage their combined strengths to enhance operational efficiency and market competitiveness in the Southeast Asian digital economy.
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