I bought Alibaba when it rallied yesterday. Alibaba Group Holding Ltd. has seen a sharp 10% rise in its share price over the past few days, driven by renewed investor confidence in its artificial intelligence strategy and cloud computing performance. This rally comes at a pivotal moment for the Chinese tech giant, signalling a potential turning point in its post-e-commerce evolution. The surge was sparked by Alibaba’s announcement of a new domestically produced AI chip, tailored for inference tasks across its cloud infrastructure and consumer platforms. This move is particularly significant given the recent halt in production of Nvidia’s H20 chips, which were previously central to many Chinese firms’ AI ambitions. By pivoting to a homegrown solution, Alibaba not only aligns with China’s broader push for technological independence but also positions itself as a resilient innovator in the face of tightening U.S. export controls. Alibaba’s cloud division has emerged as the company’s growth engine, with a 26% year-over-year increase...