Alibaba has developed a cloud-based model known as ET Brain alibabacloud.com/et. The logic is that today and in the near future, we are and will be doing business in the cloud computing environment. Content, knowledge, and data are in the cloud, and Alibaba is both a user and a provider of iCloud. The ET Brain model is illustrated in Figure 14.6.
ETBrain consists of three parts: technologies, capabilities, and applications. Technologies include Big Data and analytic processing, neural networks, video recognition analysis, and machine learning. These technologies provide four major capabilities such as cognitive perception, reasoning, real-time decision making, and machine learning (see the middle level in the figure). The capabilities drive a large amount of applications, such as e-commerce activities (both business-to-business and business-to-consumers), medical and health care, smart cities, agriculture, travel, finance, and aviation. All-in-all, it is a super-intelligent AI platform. The ET Brain is illustrated in a 26:29 min. video at youtube.com/ watch?v=QmkPDtQTarY.

Alibaba's mission is to reach 2 billion consumers and to help 10 million businesses worldwide.
To attain this mission, the company invested in seven research labs that focus on AI, machine learning, NLP, face (image) recognition, and network security. Alibaba is using AI to optimize its supply chain, personalize recommendations, and provide virtual personal assistants.
Alibaba concentrates on several industries and on AI-supported bricks-and-mortar shopping.
For example, in its AI office in Hong Kong, the company opened "Fashion AI," working with Guess Inc., helping shoppers to create an online ensemble while they are in a physical store. See
engadget.com/2018/07/04/guess-alibaba-aifashion store/. The company plans to rewire the world with AI (see Knight, 2018) and may control the world commerce.

Questions for Case 14.3
1. Relate cloud computing to AI at Alibaba.
2. Explain the logic of the ET Brain model.
3. Search the Web to find recent Alibaba activities in the AI field.
4. Read Lashinsky (2018). Why is Alibaba in such strong competition with Tencent?

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Intelligent Al foundation Intelligent apps, analytics Intelligent things Blockchain Mash Event driven Digital twins Conversational platforms Digital Adaptive risk and trust Cloud to the edge Immerse experience