Alibaba's Agentic AI Chip Fails to Impress Investors

Alibaba has unveiled the XuanTie C950, an agentic AI CPU built on RISC-V architecture rather than Arm, positioning itself as a serious competitor in the next generation of AI chips. Despite the launch, shares remain down nearly 36% from 52-week highs, with investors largely unmoved. The stock trades at 16.7 times forward earnings, offering potential value for those willing to look beyond U.S. markets. Alibaba also points to a surge in Chinese solo entrepreneurs leveraging AI agents as evidence that agentic AI is already reshaping real-world business.