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 is the primary reason Alibaba is considering splitting into six different groups?

• To merge with Amazon

• To allow each unit more independence

• To reduce its workforce

• To focus solely on e-commerce

Why is Alibaba's cloud computing business gaining significant attention?

• It is being shut down

• It is merging with Amazon's cloud services

• It has potential to be a major profit driver

• It is the least profitable unit

What percentage of jobs is Alibaba cutting in its cloud division?

• 7%

• 10%

• 15%

• 5%

What is one of the challenges Alibaba's cloud business faces?

• Lack of technology

• High operational costs

• Political issues with the government

• No demand for cloud services

How might separating the cloud division help Alibaba?

• By focusing on e-commerce

• By competing more effectively for government contracts

• By merging with other tech companies

• By reducing its workforce