Following the announcement of a new artificial intelligence model, Alibaba’s shares surged sharply by 7.5%, marking the best daily performance in two weeks. The company’s shares demonstrated the strongest increase in recent weeks, driven by the impact of the new artificial intelligence model on the company’s performance. Alibaba released the QwQ-32B model, claiming to perform as well as DeepSeek, utilizing approximately 5% of the parameters used in DeepSeek’s R1 model, a significant advancement from the previous version. After this development, Alibaba’s shares recorded the highest daily increase in nearly two weeks, rising by 7.5%. The tech company’s market value has increased by around $135 billion this year. Analysts noted that the company is now at the forefront of the artificial intelligence field. Despite facing challenging times due to pressure from the Beijing government and declining consumption post the coronavirus pandemic, Alibaba managed to regain attention with the artificial intelligence rally. Along with its investments in artificial intelligence, Alibaba has also begun to regain support from the Beijing government. The company previously announced plans to invest over 380 billion yuan (more than $52 billion) in artificial intelligence infrastructure over the next three years.