# China's push to build its own AI stack is starting to take physical shape.

*semiconductor · news · 2026-04-08 · TechStartups.com*

## Key points

- Alibaba and China Telecom launched a data center powered entirely by Alibaba's in-house Zhenwu chips.
- The center uses 10,000 Zhenwu semiconductors capable of handling AI models with hundreds of billions of parameters.
- Alibaba now controls the full AI pipeline, from chip design to cloud distribution, enhancing vertical integration.
- Alibaba and China Telecom plan to scale the facility to 100,000 chips, expanding compute capacity for diverse industries.
- A new technology committee led by CEO Eddie Wu aims to accelerate Alibaba's AI development internally.

**Companies:** Alibaba, China Telecom
**Countries:** China

[Read the full story on TechStartups.com](https://techstartups.com/2026/04/08/alibaba-launches-data-center-with-10000-homegrown-ai-chips-to-challenge-nvidias-dominance/)

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