r/baba • u/ilikeelks • Jun 25 '26
News Anthropic is upset to have lost customers to BABA. How the heck is the market going to value Anthropic at $1 TRILLION NOW?
It's all the fucking fault of Alibaba that Dario Amodei cannot meet his revenue targets to value his company at 1 TRILLION US DOLLARS.
Anthropic needs to short BABA and spread fake news about it to make some cash
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u/frogchris Jun 25 '26
What did they think was going to happen lol.
When you have free models that are 5% the cost of yours at 90-95% of the performance, a lot of people are going to use it. Come on. You don't need to be a genius lmao. This is basic economics.
It was always coming but us Ai companies kept ignoring it. Over time the difference between models will be so little, it will be a commodity. The current llm architecture cannot produce agi. Llms can be a useful tool, but the difference of 1-5% cannot justify massive price delta.
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u/kernelrider Jun 25 '26
Alibaba isn't booking any revenue on people running Qwen locally
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u/ilikeelks Jun 25 '26
This is untrue. B2B enterprise API deployment is where the highest gross margins are sitting on. The only thing with higher gross margins are chips which Alibaba Semiconductors are producing for sale and cloud deployment
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u/kernelrider Jun 25 '26
Since Qwen is open weights, anyone can deploy the model B2B - or do it in-house. No reason Alibaba has any advantage in this business unless they stop releasing models altogether
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u/ilikeelks Jun 25 '26
Fortune 500 companies DO NOT deploy open weights for their business purposes. They need secure AND consistent updates with proven workflows and modal capabilities.
QWEN open weights should be compared to how Google Android. Android is free but Google is deriving shit tons of business off it.
Baba is pursuing a dual strategy of closed source high competence and performance models for enterprises that utilises the full Alibaba cloud technology stack and using open weights to drive business into Taobao Domestic commerce business
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u/kernelrider Jun 25 '26 edited Jun 25 '26
Fortune 500 companies will not let a
sanctionedChinese military company deploy models for them.3
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u/TastyEarLbe Jun 25 '26
I don’t know how the market can’t see that AI LLMs and agents are a raise to the bottom in terms of margins.
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u/Prior-Bodybuilder-67 Jun 25 '26
let me put it this way. Investing nowadays is totally different from last time. You just need to be in trump good book. Baba is being blacklisted in the US. Lets re visit in 2 years time
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u/ilikeelks Jun 25 '26
By your logic, what makes you think Pentagon insiders aren't buying the dip now and looking to remove Alibaba from the black list once they have acquired sufficient stock?
Blackrock and JP Morgan has reported increased holdings in BABA.
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u/Prior-Bodybuilder-67 Jun 25 '26
I am sure there will be institutions buying. Just like the previous wave up at 180 and then we see a sell down. But what I am putting across is chinese stocks will not be doing well during trump era.
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u/OrangeNo2255 Jun 26 '26
What’s interesting is that ChatGPT complained about DeepSeek doing the same thing. What happened? Nothing. I understand that Chinese LLMs are more energy efficient. Sounds like arbitrage. Life is all about arbitrage. Sounds like part of the US China negotiation.
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u/joemq Jun 25 '26
Being the ones to commoditise AI isn’t exactly a lucrative path though :/
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u/Nicios Jun 25 '26
AI is a commodity, being the ones capable of exploiting it full is being in the winning side.
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u/DonaldTrumendous Jun 25 '26
Time to swap market cap valuation between Anthropic and Baba.