<p>Alibaba announced Tuesday that it would split into six business groups in one of the most significant overhauls of a leading Chinese tech firm to date.</p>.<p>The Hangzhou-based firm is one of China's most prominent tech giants, with business operations spanning cloud computing, e-commerce, logistics, media and entertainment, and artificial intelligence.</p>.<p>Daniel Zhang, the company's chairman and CEO, said in a statement that the restructuring would enable each separate business to pursue its own fundraising and public listing plans.</p>.<p>Alibaba claimed the moves were intended to "unlock shareholder value and foster market competitiveness".</p>.<p>Under the new arrangement, each of the six newly established units will be managed by its own CEO and board of directors.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/international/world-news-politics/billionaire-jack-ma-returns-to-china-after-more-than-a-year-long-sojourn-abroad-1203931.html" target="_blank">Billionaire Jack Ma returns to China after more than a year-long sojourn abroad</a></strong></p>.<p>A key exception to the restructuring is Taobao Tmall Commerce Group -- the operator of one of China's top online purchasing platforms -- which will remain wholly owned by Alibaba Group.</p>.<p>Zhang will remain in his post as CEO of the company, although day-to-day operations of the individual business units will be ceded to the new management bodies.</p>.<p>The company said the new structure would bring greater market visibility to the value of its diverse business operations.</p>.<p>These changes will not affect Alibaba shares currently listed in New York and Hong Kong, the firm said.</p>.<p>Aiming for a more "nimble structure", the reorganisation will also involve cuts to the firm's middle and back office functions.</p>.<p>Recent years have seen the internet giant face unprecedented headwinds as Beijing has imposed tighter restrictions on the domestic tech industry.</p>.<p>Combined revenue at China's internet companies shrank by just over one percent to 1.46 trillion yuan ($212 billion) in 2022, the first contraction in almost a decade, according to data from the Ministry of Industry and Information Technology.</p>.<p>Alibaba founder Jack Ma has kept a low profile since late 2020, when a speech he made attacking Chinese regulators was followed by Beijing pulling the plug on Alibaba affiliate Ant Group's planned IPO.</p>.<p>Having ballooned into a sprawling corporate behemoth since its founding in 1999, the company has been seeking new ways to drive growth and reinvigorate its development.</p>.<p>Referring to the plan as a "transformation", Zhang said in the statement that it would make Alibaba "more agile, enhance decision-making, and enable faster responses to market changes".</p>.<p>Ma has been spotted around the world over the past two years, but made a rare public appearance in China on Monday after his fall from grace.</p>.<p>The celebrity entrepreneur has recently emphasised the need for Alibaba to embrace artificial intelligence technology, as new tools such as ChatGPT appear poised to reshape the global industry.</p>
<p>Alibaba announced Tuesday that it would split into six business groups in one of the most significant overhauls of a leading Chinese tech firm to date.</p>.<p>The Hangzhou-based firm is one of China's most prominent tech giants, with business operations spanning cloud computing, e-commerce, logistics, media and entertainment, and artificial intelligence.</p>.<p>Daniel Zhang, the company's chairman and CEO, said in a statement that the restructuring would enable each separate business to pursue its own fundraising and public listing plans.</p>.<p>Alibaba claimed the moves were intended to "unlock shareholder value and foster market competitiveness".</p>.<p>Under the new arrangement, each of the six newly established units will be managed by its own CEO and board of directors.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/international/world-news-politics/billionaire-jack-ma-returns-to-china-after-more-than-a-year-long-sojourn-abroad-1203931.html" target="_blank">Billionaire Jack Ma returns to China after more than a year-long sojourn abroad</a></strong></p>.<p>A key exception to the restructuring is Taobao Tmall Commerce Group -- the operator of one of China's top online purchasing platforms -- which will remain wholly owned by Alibaba Group.</p>.<p>Zhang will remain in his post as CEO of the company, although day-to-day operations of the individual business units will be ceded to the new management bodies.</p>.<p>The company said the new structure would bring greater market visibility to the value of its diverse business operations.</p>.<p>These changes will not affect Alibaba shares currently listed in New York and Hong Kong, the firm said.</p>.<p>Aiming for a more "nimble structure", the reorganisation will also involve cuts to the firm's middle and back office functions.</p>.<p>Recent years have seen the internet giant face unprecedented headwinds as Beijing has imposed tighter restrictions on the domestic tech industry.</p>.<p>Combined revenue at China's internet companies shrank by just over one percent to 1.46 trillion yuan ($212 billion) in 2022, the first contraction in almost a decade, according to data from the Ministry of Industry and Information Technology.</p>.<p>Alibaba founder Jack Ma has kept a low profile since late 2020, when a speech he made attacking Chinese regulators was followed by Beijing pulling the plug on Alibaba affiliate Ant Group's planned IPO.</p>.<p>Having ballooned into a sprawling corporate behemoth since its founding in 1999, the company has been seeking new ways to drive growth and reinvigorate its development.</p>.<p>Referring to the plan as a "transformation", Zhang said in the statement that it would make Alibaba "more agile, enhance decision-making, and enable faster responses to market changes".</p>.<p>Ma has been spotted around the world over the past two years, but made a rare public appearance in China on Monday after his fall from grace.</p>.<p>The celebrity entrepreneur has recently emphasised the need for Alibaba to embrace artificial intelligence technology, as new tools such as ChatGPT appear poised to reshape the global industry.</p>