Alibaba chairman Joe Tsai credits China’s AI edge to power grid, open-source models

China’s artificial intelligence breakthroughs in recent years stemmed from the country’s strategic strengthening of its power grid, commitment to open-source models and complete manufacturing supply chain, according to Joe Tsai, chairman of Alibaba Group Holding.

“Currently, geopolitical complexities are deeply affecting supply chain security and the sharing of technological achievements,” Tsai said in a speech on Sunday at the China Development Forum 2026 in Beijing. “In this era and environment of uncertainty, China’s technology sector is both willing and capable of providing certainty.”

Over the past decade, China had continuously increased investment in power transmission, with annual spending in recent years averaging US$90 billion – the highest in the world – leading to newly installed power generation capacity last year that was 10 times that of the US, he said.