Alibaba, Tencent AI Bets Face ‘Show Me the Profits’ Scrutiny
Alibaba’s stock in Hong Kong is down 6.7% this year.
Photographer: Qilai Shen/BloombergChinese investors are heading into the earnings season demanding proof that billions in AI spending by tech giants is paying off.
That spotlight will fall on Alibaba Group Holding Ltd. and Tencent Holdings Ltd. when they report results on Wednesday. Investors will be looking for evidence that their heavy investments in artificial intelligence are translating into real returns, and whether they can secure enough chips to support those ambitions.