Alibaba's Cloud Arm Is Said to Cut 7% of Staff in Overhaul

Alibaba is restructuring its business into six groups, with a focus on its cloud computing division, which has struggled to match the profitability of competitors like Amazon. As part of this strategy, Alibaba is cutting 7% of jobs in the cloud unit to control costs and improve profitability. The company aims to better compete in the Chinese market, particularly with state institutions, despite past political challenges. The restructuring is seen as a move to enhance competitiveness and capitalize on growth opportunities.

What challenges has Alibaba faced in attracting business from state-backed institutions?

In what ways is Alibaba attempting to enhance its competitiveness in the cloud market?