Alibaba Group chair Joe Tsai emphasized that (artificial intelligence) AI development should focus on economic impact rather than competition. Speaking at the World Government Summit (WGS) 2025 in Dubai, Tsai discussed how AI models need to be practical and cost-efficient to drive real-world benefits.
“The AI race is not about who has the smartest kids,” Tsai said. “What truly matters is creating specialized AI models that are economically impactful and useful in real-world scenarios.”
Tsai explained that reducing AI training and inference costs is key to making the technology more accessible. Lowering these expenses allows businesses of all sizes to participate in AI development, making innovation more inclusive.
Alibaba has been active in open-source AI. Its platform, ModelScope, provides startups, researchers, and developers with access to advanced AI models. In 2023, the company released Qwen-7B, an open-source model that has inspired the creation of thousands of new models worldwide. In 2024, Alibaba introduced 100 new models under the Qwen2.5 series, enhancing AI capabilities in multiple fields.
The company also became the first to release an open-source reasoning AI model, QwQ. This model aims to improve AI’s ability to analyze and respond to complex inputs.
The WGS 2025, held from Feb. 11-13, gathered global leaders to discuss innovation. Tsai noted that aligning AI development with affordability would help more businesses contribute to the industry.
“By making AI more accessible, we create opportunities for more people to benefit from the technology,” Tsai said.

