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Quarterly Profitability: A Rare Milestone in Hong Kong’s AI Sector

In capital markets, ambitious visions must ultimately be backed by real financial performance—and Deepexi’s interim results provide clear proof of execution.

For the first half of 2026, the company generated RMB 284.0 million in total revenue, marking a 115.0% year-over-year increase. Its AI business served as the primary growth engine, contributing RMB 226.0 million—an impressive 209.2% year-over-year surge—bringing AI revenue to 79.6% of total corporate turnover.

Even more noteworthy is the marked improvement in profitability. First-half gross profit reached RMB 160.0 million, up 120.5% year-over-year, with gross profit margin expanding to 56.5%. Crucially, during the second quarter of 2026, Deepexi posted a standalone quarterly net profit of approximately RMB 30.1 million, officially crossing the breakeven threshold.

In Hong Kong’s technology sector, pure-play enterprise AI companies capable of achieving quarterly net profitability while sustaining high R&D investment remain exceptionally rare. This milestone underscores Deepexi’s operational efficiency, scalable software delivery, and self-sustaining monetization engine.

This scarcity value is equally evident in the company’s revenue composition and vertical reach. Industrial manufacturing accounted for more than 50% of total revenue, while retail and consumer goods contributed 30%, alongside expanding footholds in healthcare and smart transportation. In manufacturing, for example, equipment troubleshooting and predictive maintenance involve dense engineering schematics, real-time IoT sensor telemetry, and extensive historical maintenance logs—all of which Deepexi translates into structured logic that AI models can readily interpret. This deep vertical expertise and proprietary data accumulation create a formidable competitive barrier that general-purpose AI vendors cannot easily match.

Beyond the “SaaSpocalypse”: Deepexi’s AI-Native Platform Defies the Software Valuation Reset

The first quarter of 2026 witnessed what market observers have dubbed the “SaaSpocalypse”—a tectonic shift in which approximately $2 trillion in market capitalization was erased from B2B software equities, driven by a fundamental fear that agentic AI would cannibalize the traditional per-seat licensing model. The iShares Expanded Tech-Software ETF (IGV) plunged nearly 21% year-to-date, and enterprise software multiples (EV/Sales) cratered from a 5.6x average at the end of 2025 to 4.2x by mid-March.

Investors have pivoted decisively toward AI-native infrastructure—companies that manage the data and underlying plumbing of autonomous systems—while penalizing traditional application-layer SaaS vendors reliant on human-centric interfaces. As a recent Windsor Drake analysis notes, “AI-native agentic platforms clear 14x to 22x revenue, with private rounds at 20x to 30x,” while legacy standalone RPA trades at just 2.5x to 5x. The market is now rewarding AI-native architecture and measurable workflow ownership.

Deepexi sits squarely on the winning side of this divergence. Unlike traditional SaaS vendors whose revenues are tied to human seat counts—and thus vulnerable to agentic displacement—Deepexi’s token-based, consumption-driven model aligns directly with the agentic AI future. The company’s DeepWorks enterprise Agent platform does not sell per-seat licenses; it sells AI productivity, enabling enterprises to deploy autonomous agents that replace repetitive administrative work, not software seats. As the market shifts from “AI as a feature” to “AI as a replacement,” Deepexi’s business model is structurally insulated from the seat-compression forces that have punished legacy software vendors.

Focus on Enterprise AI Applications and Proprietary Domain Data

To ensure AI truly meets real-world enterprise demands, generic foundational models are insufficient on their own. Deepexi’s core competitive edge lies in its specialized “Data + AI” dual-engine architecture, anchored by the FastData enterprise data intelligence platform, the FastAGI agentic AI suite, and the Deepexi Enterprise Large Model Platform, supported by its proprietary Deepology ontology dataset containing over 2,000 vertical industry skills.

At the foundational layer, the FastData platform—powered by the FastData Foil fusion engine—acts as an intelligent lakehouse that tokenizes structured, semi-structured, and complex unstructured enterprise data into standardized formats ready for large model training and inference. Building upon this data foundation, the FastAGI platform and DeepWorks Enterprise Agent Platform provide organizations with a flexible, modular AI operating system.

Featuring a pluggable architecture, the platform connects seamlessly to leading open-source foundation models such as DeepSeek and Zhipu AI, giving enterprise clients complete autonomy while eliminating vendor lock-in. This “model-agnostic” approach is a key differentiator in an environment where enterprises increasingly demand flexibility to choose the best model for each use case, rather than being locked into a single provider.

Through native Model Context Protocol (MCP) frameworks and specialized agents—ranging from operational decision-making agents to productivity and autonomous workflow execution agents—Deepexi embeds intelligence directly into core business operations. DeepWorks is fully integrated with mainstream workplace collaboration suites such as DingTalk, Feishu, and Tencent Meeting, allowing employees to summon AI copilots directly for automated weekly reporting, data synthesis, and cross-departmental coordination—effectively turning AI into an indispensable daily productivity tool.

In an enterprise AI market where 42% of organizations already have AI agents in production and 72% are deploying across production and pilots combined, Deepexi’s proven, governed agentic workflows are no longer an experiment—they are core infrastructure.

Strategic Partnership with Huawei Cloud: Tackling Compute and Data Bottlenecks

In the commercialization of enterprise AI, computing costs and access to high-quality domain data represent two of the industry’s most critical bottlenecks. On August 12, Deepexi announced a strategic alliance with Huawei Cloud to jointly launch enterprise data intelligence solutions, providing strong operational backing for the company’s long-term expansion.

The partnership combines the complementary strengths of both technology leaders. Huawei Cloud provides underlying Ascend AI computing clusters and distributed cloud infrastructure, while Deepexi brings its deep expertise in enterprise data governance, data tokenization, and vertical AI agent deployments. By integrating with Huawei’s domestic Ascend compute clusters, Deepexi not only secures stable, long-term computing power but also significantly drives down token processing costs. This cost efficiency establishes ideal conditions for exploring usage-based, token-metered commercial billing models—precisely the kind of consumption-based pricing that aligns with the agentic AI future.

Crucially, falling AI costs are widely expected to accelerate enterprise adoption of autonomous agents. Deepexi’s partnership with Huawei Cloud positions the company to capture this demand wave with a cost structure that improves as token volumes scale—a powerful margin-expansion dynamic that stands in stark contrast to the fixed-cost burden of traditional SaaS.

Strong Institutional Backing Highlights Long-Term Investment Value

Reflecting strong capital market confidence, Deepexi announced on August 17 the successful placement of 14,286,000 new H-shares at HK$35.00 per share, raising net proceeds of approximately HK$488.0 million. Successfully closing a sizeable placement amid broader market volatility demonstrates strong institutional recognition of Deepexi’s proven business model, robust unit economics, and profitability trajectory.

The company’s strategic shareholder structure provides a solid foundation for long-term growth. It is supported by prominent independent investors, including Hillhouse, 5Y Capital, and BAI, as well as industry-focused investors such as Shanghai AI. These partnerships enhance Deepexi’s industry reputation, drive technological innovation, and strengthen its market competitiveness.

The newly raised funds are earmarked primarily for continuous R&D in next-generation enterprise agent systems and token productivity platforms—positioning the company to capture the $206.5 billion AI agent software market projected for 2026, which Gartner expects to grow to $376.3 billion in 2027.

Investment Thesis: Why Deepexi Stands Apart

1. AI-Native Architecture in an Agentic World. Unlike legacy SaaS vendors facing seat compression, Deepexi’s token-based model is structurally aligned with the agentic AI future. The company doesn’t sell software seats—it sells AI productivity.

2. Rare Profitability in Enterprise AI. Quarterly GAAP profitability at a 56.5% gross margin, with projected revenue CAGR of 95.5% through 2027, places Deepexi among the most financially disciplined enterprise AI companies globally.

3. Model-Agnostic, Vendor-Neutral Platform. In an environment where enterprises demand flexibility, Deepexi’s pluggable architecture—supporting DeepSeek, Zhipu, and other open-source models—eliminates lock-in and captures value regardless of which foundation model wins.

4. Proprietary Data Moat. With over 2,000 vertical industry skills and deep expertise in manufacturing, retail, healthcare, and transportation, Deepexi’s domain-specific data capabilities create barriers that general-purpose AI vendors cannot replicate.

5. Strategic Compute Partnership with Huawei Cloud. Long-term, cost-effective compute access, combined with token-metered pricing models, positions Deepexi for sustained margin expansion as token volumes scale.

6. Institutional Validation. Backing from top-tier investors and a successful HK$488 million placement amid market volatility signal strong institutional confidence in Deepexi’s business model and growth trajectory.

The enterprise AI market has decisively shifted from early conceptual exploration into a new era of commercial execution and tangible financial delivery. Backed by mature product suites across FastData and FastAGI, proprietary vertical ontologies, strategic cloud partnerships, and an official transition to net profitability, Deepexi Technology has proven that enterprise AI can deliver both transformative technology and sustainable profits.

Hashtag: #DeepexiTechnology

The issuer is solely responsible for the content of this announcement.

About Deepexi Technology

Deepexi Technology is China’s leading provider of enterprise large model AI application solutions. Through its FastData enterprise data intelligence solution and FastAGI enterprise AI solution, it empowers enterprises to integrate their data, decisions and operations efficiently at scale. Deepexi ranked fifth in China’s enterprise large model AI application solution market in terms of revenue in 2024. Its solutions have achieved large-scale commercialization across multiple verticals, including consumer goods, manufacturing, healthcare and transportation. As of June 30, 2025, Deepexi Technology served a cumulative total of 283 enterprise customers across various industries.

This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those projected. The company undertakes no obligation to update any forward-looking statements.

The Group continued to accelerate the large‑scale commercial deployment of its AI capabilities, building system‑level AI capabilities around the framework of “one model system, one Token Factory, and one Agent Harness” to advance AI from intelligence generation toward end‑to‑end task execution and transform these capabilities into scalable commercial value.

Dr. Xu Li, Chairman of the Board and CEO of SenseTime, said: “SenseTime’s three-pillar core capability framework, built around ‘one model system, one Token Factory, and one Agent Harness’, uses a unified model system to continuously push the boundaries of intelligence, leverages infrastructure and optimization capabilities to reduce Token costs and strengthen cost‑based pricing power, and deploys agents deeply integrated into enterprise and individual workflows to deliver complete task execution capabilities. This framework enables SenseTime to move beyond pure price competition and create sustainable commercial value through differentiated technologies and services. At the same time, it allows us to expand our user base, drive recurring revenue growth, and lay a solid foundation for the Group’s high‑quality development.”

One Model System: Advancing Native Multimodal Intelligence and Long‑Horizon Agents with Global Leading Performance

In 2026, SenseTime released a series of models at a rapid pace, spanning native multimodal unification, visual perception and reasoning, controllable generation, long‑horizon agents, spatial intelligence, and physical world models. These included the NEO‑Unify architecture; SenseNova U1, U1.5 and U1.5‑Lite; SenseNova Vision; the office‑focused multimodal agent SenseNova 6.8‑Flash‑Lite; the content creation model SenseNova U1‑Pro; the spatial intelligence model SenseNova SI‑8B; and the Kairos 3.1 world model co‑developed with Ace Robotics. Across multiple core benchmarks, these models matched or outperformed leading international models, including Gemini, GPT, and DeepSeek. Less than four months after the U1 series was open‑sourced, the three projects had collectively garnered more than 11,000 stars on GitHub.

SenseTime is advancing from digital intelligence toward physical AGI through the closed‑loop framework of “architectural innovation, system capabilities, and high‑value delivery,” continuously translating technological breakthroughs into real-world applications and commercial value.

Token Factory: Upgrading from Compute Provisioning to Scaled Intelligence Production

SenseTime’s SenseCore is evolving into a production‑oriented Token Factory. Through integrated model and infrastructure optimization, as well as capabilities in model adaptation, inference optimization, heterogeneous scheduling, energy management and global service delivery, the Token Factory not only expands Token output and lowers unit costs, but also continuously enhances the reasoning, understanding, generation, and execution capabilities embedded in each Token.

In July 2026, SenseCore delivered an average daily Token service volume of 2.4 trillion, representing a YoY increase of approximately 22 times. As of the date of this announcement, the Group’s total deployed computing power had reached 48,000 Petaflops (P).

The Token Factory provides strong support for SenseTime in advancing the performance boundaries of its foundation models and scaling their commercial deployment. It has tripled the training speed for long‑context Agent models, increased image and video generation efficiency sixfold, improved reinforcement learning training efficiency, and shortened the cycle from model R&D validation to large‑scale deployment to just one week. In addition to supporting the SenseNova foundation model, the Token Factory now serves four external foundation model providers, establishing differentiated capabilities across high‑complexity computing domains, including AI for Science (“AI4S”), video generation, embodied intelligence, world models, and city‑level intelligent applications.

In addition, the Group remains committed to advancing the domestic compute ecosystem, increasing the MFU (Model Floating‑Point Utilization) of mainstream domestic chips by up to 2.5 times compared with the baseline levels established by chip manufacturers. SenseNova U1 has achieved Day 0 adaptation across more than ten domestic chip platforms.

Through compute‑energy synergy, the Company continues to reduce the unit cost of intelligence. During the Reporting Period, its Compute‑Energy Synergy Agent achieved load forecasting accuracy of 96% and generated cumulative electricity cost savings of more than RMB12 million. For every 10,000P of computing power, annual carbon emissions were reduced by 24,000 tons.

Agents Accelerate Adoption Across Enterprise and Consumer Markets, Delivering Value Through Workflow Integration and Enhanced Everyday Experiences

Building on its model and Token capabilities, SenseTime connects models, knowledge, tools, and workflows through a unified Agent Harness, transforming underlying AI capabilities into end-to-end task delivery solutions for enterprise and individual users.

The Group’s agents are rapidly expanding across both enterprise and personal workflows. During the Reporting Period, they served more than 1,000 enterprise customers across over 20 key industries, including education, government, marketing, logistics, banking, and insurance. The Office Agent, Raccoon, has served major enterprises including Lenovo, Ping An Technology, China’s three major telecommunications operators, JD.com, and Kylin Software. Total users increased more than fivefold YoY, enterprise users grew more than sixfold, and monthly active users on the cloud platform increased nearly tenfold. In addition, the video‑generation agent Seko reached a daily video production volume of 10,000 minutes. Content created on the platform has amassed an estimated 1.5+ billion views across short‑video platforms, including 10 short-form dramas that have each surpassed 100 million views. AI productivity solutions are also expanding beyond large organizations to serve smaller teams and One‑Person Companies (OPCs). In the consumer market, the Kapi series of agents, covering use cases such as health, finance, and content creation, has surpassed 45 million cumulative users.

Computer Vision remains a strategic gateway for the Group’s expansion into industry verticals and overseas markets. During the Reporting Period, revenue from the business reached RMB500 million, accounting for approximately 17% of the Group’s total revenue. The business extended across more than 20 countries and regions and served more than 4,500 customers worldwide, with recurring customers contributing 67% of revenue.

Bridging Digital and Physical Intelligence, Unlocking Ecosystem Value

SenseTime continued to invest in frontier areas, including world models and embodied intelligence, intelligent terminals, smart healthcare, and chips. The increase in the valuation of certain AI ecosystem investments generated fair‑value gains, contributing to the Group’s first‑ever IFRS profit and reflecting the gradual realization of financial value from our ecosystem assets. Beyond short‑term investment returns, the more significant long‑term value of these ecosystem investments lies in enabling the Group gain early access to frontier domains, continuously acquire real‑world tasks, data, and feedback, and further strengthen SenseTime’s unified multimodal models and system‑level delivery capabilities.

SenseTime is deepening its “Three-pillar Framework”: one model system to raise the ceiling of intelligence and expand agents’ ability to handle complex tasks; one Token Factory to improve quality and efficiency, reduce costs, and enhance global delivery capabilities; and one Agent Harness to integrate multimodal models with the Token Factory, enabling AI to complete end‑to‑end tasks in real-world scenarios.

Looking ahead, SenseTime will continue to advance the iteration of multimodal agents, driving the evolution of the Token Factory from pricing based on Token volume to pricing based on task outcomes. The Group will also deepen the application of multi‑agent collaboration across enterprise, individual, and OPC workflows, delivering efficient and reliable productivity solutions to users.

Hashtag: #SenseTime

The issuer is solely responsible for the content of this announcement.

About SenseTime

Founded in 2014, SenseTime is a leading artificial intelligence (AI) software company, committed to its mission of “creating a better AI-empowered future through original innovation”. The Company continues to lead cutting-edge AI research while accelerating the large-scale commercialization of AI technologies.

Leveraging deep academic expertise and strong in-house innovation capabilities, SenseTime continues to enhance its industry-leading multimodal, multi-task general AI capabilities, while fostering a vibrant developer ecosystem through structured open-source initiatives.

SenseTime’s business spans Generative AI, Vision AI, and emerging innovation-driven segments. Underpinned by SenseCore, its next-generation AI infrastructure, the Company integrates computing power, algorithms, and platforms to enable scalable AI deployment. Building on this foundation, SenseTime has developed the SenseNova foundation model series, delivering cost-efficient capabilities across a wide range of general AI tasks. SenseTime continues to lead the global Vision AI market, ranking No.1 worldwide by market share. Its SenseFoundry platform integrates years of accumulated computer vision expertise with advanced multimodal foundation models, providing stable and efficient Vision AI solutions to industries worldwide.

SenseTime is listed on The Stock Exchange of Hong Kong, with operations spanning more than a dozen countries and regions.

By Subrata Majumder In the post Japanese Yen appreciation era, Japanese overseas investment shifted to China and ASEAN for low-cost manufacturing, leaving India behind. The trajectory is now witnessing movement in the reverse gear, owing to US President Trump’s high reciprocal tariff. Japanese investment has surged in India, leaving China and ASEAN behind. While Japanese […]

The article Trump’s high-tariff regime revives Japanese investment in India appeared first on Latest India news, analysis and reports on Newspack by India Press Agency).

Founder Jack Ma bought more than HK$600 million worth of Alibaba’s Hong Kong-listed shares over consecutive trading days, while chairman Joe Tsai and chief executive Eddie Wu together purchased more than HK$200 million of stock. The buying helped shares recover modestly after the placement triggered their sharpest setback in months, but the stock remained well below levels preceding the deal.

Alibaba priced 710 million new shares at HK$112.70 each, raising HK$80 billion, or about $10.2 billion. The price represented an 8.4% discount to the August 21 Hong Kong close of HK$123 and increased the company’s outstanding share count by roughly 3.7%.

Hong Kong-listed shares slumped 8.5% on August 24, closing at HK$112.50 after trading as low as HK$110.10. They recovered 1.5% to HK$114.20 on Tuesday as purchases by senior executives became known, leaving them still more than 7% below the price immediately before the placement was announced.

The transaction has become a test of whether investors will continue financing increasingly expensive AI expansion despite the near-term pressure it places on earnings and cash generation. Alibaba has earmarked all net proceeds for its full-stack AI capabilities, covering computing infrastructure, chips, models and other technologies required to expand its cloud and generative AI businesses.

Demand for the offering itself was strong. Investor orders reached roughly $28 billion, making the placement almost three times subscribed. Sovereign wealth funds and long-only institutional investors accounted for a sizeable portion of allocations. The deal ranks as the largest primary follow-on share offering by a Hong Kong-listed company.

The discomfort instead centres on the scale and timing of Alibaba’s capital requirements. The company spent close to $10 billion on capital expenditure during the three months through June, an increase of about 75% from a year earlier. Net profit dropped about 75%, while free cash flow turned into an outflow of roughly $6.6 billion.

Alibaba has already deployed almost half of the 380 billion yuan it pledged last year to spend on AI and cloud infrastructure over three years. Management has argued that rapidly growing demand justifies accelerating investment and has shortened its expected payback period for AI expenditure to about two-and-a-half years from three years.

That argument is supported by Alibaba Cloud’s accelerating expansion. Revenue from the cloud business has been growing strongly, helped by demand for AI-related products, while the company continues to build computing capacity overseas. Alibaba Cloud this month opened a third data centre in South Korea, taking its network to 104 availability zones across 30 regions.

Its Qwen family of large language models has also strengthened Alibaba’s position among leading Chinese AI developers. New iterations have improved performance in coding, reasoning and agent-based tasks, helping the company compete with models from domestic rivals and leading US technology groups.

Investors nevertheless face a difficult balance between the longer-term AI opportunity and the immediate financial cost. Expensive processors, servers, data centres and networking equipment require large upfront commitments, while competition is pushing model providers towards lower prices. Alibaba is simultaneously spending heavily on quick commerce and other consumer businesses, adding pressure to margins.

The share sale has also revived scrutiny of capital allocation. Alibaba spent years repurchasing billions of dollars of its own shares, only to issue new equity at a sizeable discount as AI spending accelerated. Although the company still has substantial cash resources, investors have questioned why such a large equity raising was preferable to greater use of its balance sheet or debt financing.

The Finalists’ collections showcase innovative approaches to tackling textile waste, transforming discarded leather offcuts, secondhand hardware and industrial waste through reconstruction and upcycling techniques, while exploring next-generation materials such as biodegradable fruit leather and ethical non-livestock wool to reimagine raw materials for circular fashion.

Organised by Redress and supported by the Cultural and Creative Industries Development Agency (CCIDA) of the Government of the Hong Kong Special Administrative Region as Lead Sponsor, the Redress Design Award invites the public to discover the tactile beauty of circular fashion through its latest photoshoot and cast their votes to champion sustainable fashion while empowering the next generation of circular design talents.

The photoshoot: sensory storytelling

Photographed by acclaimed Hong Kong creative Paul Sunga with hair by Davines and makeup by MakeupBees, the photoshoot celebrates the creative decisions behind each Finalist’s collection, highlighting the unique textures, craftsmanship and natural imperfections of their materials while underscoring why design matters: 80% of a garment’s environmental impact is determined at the design stage^[1].

“The Finalists of the Redress Design Award are proving that thoughtful design can transform textile waste into something beautiful. Getting up close to these garments, you see how every material choice, texture and technique tells a story, reminding us that the biggest opportunity to reduce fashion’s environmental impact begins at the design stage. I can’t wait for people to discover these collections through the photoshoot and vote for their favourite,” says photoshoot photographer Paul Sunga.

The Finalists’ collections are transported from overseas to Hong Kong for the photoshoot and upcoming Grand Final using DHL Express’ GoGreen Plus service. This service helps reduce greenhouse gas emissions through a Book & Claim mechanism, where the environmental attributes of Sustainable Aviation Fuel (SAF) are allocated to participating shipments. Made from alternative raw materials with a lower-emission energy profile, such as used cooking oil, waste and hydrogen, SAF can reduce the air transport shipments’ lifecycle greenhouse gas emissions by around 80 percent compared with conventional jet fuel.

Find out who wins at the grand final show

The People’s Choice Award winner will be announced at the Redress Design Award 2026 Grand Final Fashion Show, along with the coveted first prize including a week-long trip to the UK to connect with leading voices in sustainable fashion through a visit to Simple Approach’s Manchester operations to gain insight into responsible fashion design, development, and manufacturing, and an intensive experience with the team at luxury womenswear brand Roksanda to work on an upcycling design project.

The Redress Design Award 2026 Grand Final Fashion Show is open to an exclusive in-person audience and will be livestreamed globally on 2 September 2026 (Wednesday), at 5pm HKT / 11am CET via Facebook and WeChat. Save the date here.

Alumni showcase at centrestage open to public

Redress will also present a total of six Redress Alumni brands as part of both the Grand Final Fashion Show, and at a showcase of Alumni brands at CENTRESTAGE in Hong Kong from 2–5 September 2026 (Wednesday–Saturday, 11am–7pm) supported by DHL. Industry professionals and the public alike are all welcome to come, meet designers, and see up close their sustainable, waste-reducing collections.

The Redress Design Award 2026 Photoshoot Credits

• Photographer: Paul Sunga
• Models: Pak Yan Wong (Self Management Hong Kong), Max Holmström (Primo Management Ltd)
• Creative Stylist: Matthieu Amelin
• Hair: Henry Tse for Davines
• Make-up: Cindy Lai for MakeupBees
• Production: Katt Bidegain, Charly Cheung, Nancy Liu
• Studio: Soho House Hong Kong
• Lighting: Ming Suet
• BTS videographer: Jimmy Yu
• BTS photographer: Nicky Chan

Hashtag: #Redress

The issuer is solely responsible for the content of this announcement.

Redress

Redress (www.redress.com.hk) is a Hong Kong-based, Asia-focused environmental NGO with a mission to accelerate the change to a circular fashion industry by educating and empowering designers and consumers so as to reduce clothing’s negative environmental impacts.

The Redress Design Award

The Redress Design Award (www.redressdesignaward.com) is the world’s leading sustainable fashion design competition that educates and empowers emerging fashion designers about circular design techniques to reduce fashion’s negative environmental impacts. Organised by Hong Kong-based, Asia-focused environmental NGO Redress since 2011, the competition partners with academic institutions globally and attracts designer applicants from over 50 countries and regions to win prizes that connect them with global-leading fashion businesses to accelerate the change to a circular fashion industry.

Cultural and Creative Industries Development Agency (CCIDA)

The Cultural and Creative Industries Development Agency (CCIDA) (www.ccida.gov.hk), formerly known as Create Hong Kong (CreateHK) since 2009, was established in June 2024. CCIDA is a dedicated office under the Culture, Sports and Tourism Bureau of the Government of the Hong Kong Special Administrative Region (HKSAR Government) to provide one-stop services and support to the cultural and creative sectors with a mission to foster a conducive environment in Hong Kong to facilitate development of the arts, culture and creative sectors as industries. CCIDA’s strategic foci are nurturing talent and facilitating start-ups, exploring markets, promoting cross-sectoral and multi-disciplinary collaboration, promoting industrialisation of the arts, culture and creative sectors under the industry-oriented principle, and fostering a creative atmosphere in the community, thereby reinforcing Hong Kong as Asia’s creative capital and our positioning as the East-meets-West centre for international cultural exchange.

Disclaimer: The Government of the Hong Kong Special Administrative Region provides funding support to the project only, and does not otherwise take part in the project. Any opinions, findings, conclusions or recommendations expressed in these materials/events (or by members of the project team) are those of the project organisers only and do not reflect the views of the Government of the Hong Kong Special Administrative Region, the Culture, Sports and Tourism Bureau, the Cultural and Creative Industries Development Agency, the CreateSmart Initiative Secretariat or the CreateSmart Initiative Vetting Committee.

Financial pressures and burnout emerge as key challenges to life preparedness according to Etiqa Insurance Singapore Life Preparedness Survey 2026

SINGAPORE – Media OutReach Newswire – 26 August 2026 – Only 49% of Singaporeans feel prepared for the next decade, despite 76% already taking action to improve their financial wellbeing, health and future readiness. The findings, unveiled in Etiqa Insurance Singapore’s Life Preparedness Survey 2026, reveal a disconnect between Singaporeans’ confidence about the future and the proactive steps they are taking today.

This survey, conducted by Kantar in May 2026, tracks indicators of life preparedness across body, mind, money, and future among 1,017 Singapore Citizens and Permanent Residents aged 18 and above.

These findings highlight a growing preparedness gap across these dimensions, suggesting that being prepared today requires more than financial discipline alone. It calls for resilience and ability to navigate uncertainty and changing demands in life.

Key findings of the survey include:

• Financial security emerged as the single strongest definition of preparedness, with 68% of Singaporeans identifying it as the most important factor in being future ready. Nearly half of Singaporeans (47%) cite lack of money as their biggest barrier to life preparedness, significantly ahead of lack of knowledge (20%), lack of time (16%), and lack of motivation (15%).
• 68% of Singaporeans expressed readiness to take action to improve their life preparedness. They are most likely to start or increase savings (55%), exercise regularly (49%), spend more quality time with loved ones (38%), improve sleep habits (37%), and learn a new skill or take a course (33%).
• 76% of Singaporeans have already taken action to address their concerns for 2026. Some of the key concerns are financial worries (49%), conflict issues (32%), lack of exercise (30%), and limited time to upskill (28%).

Life preparedness takes a back seat for older mid-life Singaporeans

One in three (39%) Singaporeans aged 45 to 54 are not ready to take action to improve their life preparedness. Among this group, 24% prioritise managing household finances, while 21% are most concerned about planning for their future care needs.

These findings point to the pressures faced by Singapore’s mid-life population, where financial responsibilities and future caregiving concerns compete with longer-term planning. As competing demands increase, broader life preparedness goals such as improving health, building resilience, and preparing for the future can take a back seat.

Burnout emerges as a key challenge to future life preparedness

Over half (56%) of Singaporeans reported experiencing burnout in the past year, with one in five feeling burned out “very often”.

Burnout begins early in life, affecting 44% of Singaporeans aged 18 to 24. For the 18 to 24 age group, burnout is driven primarily by uncertainty about the future (49%), financial worries (43%), and workload or job demands (43%).

Despite these pressures, 42% of Singaporeans aged 18 to 24 identified wealth accumulation as their top focus area for 2026. This highlights a generation striving to build long-term stability despite elevated levels of mental and emotional strain.

Avoidance of future-planning conversations continues to hinder life preparedness

Many Singaporeans are uncomfortable discussing future care needs, finances and legacy planning with their families. Only 21% of Singaporeans have had open and detailed discussions with their family about these topics. Among Singaporeans aged 55 and above, 13% prefer to handle these matters on their own, reflecting a desire for independence and self-reliance when planning.

The findings suggest there is an opportunity to encourage earlier and more open conversations around future care, finances, and legacy planning to help reduce uncertainty and improve long-term preparedness.

Life Preparedness to navigate life’s uncertainties

“Financial readiness remains an important foundation, but resilience today also requires stronger support systems and more open conversations around long-term planning. People are more likely to take meaningful action when they feel supported, informed and empowered,” said Ms Claudia Soh, CEO, Etiqa Insurance Singapore.

“Our findings show that Singaporeans are taking positive steps to improve their financial wellbeing, health and future readiness, yet many still lack confidence about the future,” added Ms Soh.

“Life preparedness today is not just about financial discipline. It is about having resilience, support and flexibility to navigate life’s uncertainties, from rising living costs and caregiving responsibilities to health challenges and career transitions. Strengthening preparedness therefore requires building positive daily habits and longer-term planning horizons that help people feel more confident about the future.”

Etiqa Insurance Singapore life preparedness programmes

Etiqa Insurance Singapore supports the community through a range of initiatives focused on improving financial literacy, emotional wellbeing, and future planning. Through community outreach programmes, educational workshops, and accessible insurance solutions, Etiqa Insurance Singapore aims to help Singaporeans build greater confidence in navigating financial, emotional, and lifestyle challenges while preparing for the future.

The full Etiqa Insurance Singapore Life Preparedness Survey 2026 can be accessed here. For more information on our products and services, please visit us at www.etiqa.com.sg
Hashtag: #Etiqa

The issuer is solely responsible for the content of this announcement.

About Etiqa Insurance Pte. Ltd. (Etiqa Insurance Singapore)

Protecting customers since 1961, Etiqa Insurance Pte. Ltd. (EIPL) is a life and general insurance company licensed and regulated by the Monetary Authority of Singapore and governed by the Insurance Act 1966. Having protected customers in Singapore since 1961 under the name United General Insurance Co. Sdn. Bhd., the company transitioned into the Singapore branch of Etiqa Insurance Berhad in 2009. Today, EIPL in Singapore stands as the pivotal operating entity of Etiqa Insurance Group, a leading insurance and takaful provider in ASEAN.

EIPL offers a comprehensive range of life and general insurance products accessible through its diverse distribution channels, including bancassurance, agents, brokers, financial advisers, partnerships, direct and online sales via Tiq by Etiqa. Etiqa is rated ‘A’ by credit rating agency Fitch for the group’s ‘Favorable’ business profile. The company is a member of the Maybank Group.

Etiqa Insurance Singapore Life Preparedness Survey 2026

The Etiqa Insurance Singapore Life Preparedness Survey was conducted in collaboration with Kantar in May 2026, surveying 1,017 Singapore Citizens and Permanent Residents aged 18 and above. This study delves into the attitudes, perceptions, and behaviours of Singaporeans, with a focus on life preparedness across body, mind, money, and future.

By TN Ashok The much-awaited political reunion between the Bharatiya Janata Party and the Shiromani Akali Dal appears to have hit the rocks even before the two former allies could formally sit down to negotiate a seat-sharing formula for the 2027 Punjab Assembly election. The problem is not ideology. Nor is it the bitter history […]

The article BJP-SAD alliance shaky as BJP claims big brother role appeared first on Latest India news, analysis and reports on Newspack by India Press Agency).

Over 45% of online creators are diversifying revenue through direct product launches, but the creator apparel industry is still stuck in cheap screen-printed blanks that dilute premium IP. Top creators want to build fashion-grade consumer brands, but traditional fashion manufacturers requires high MOQs, long lead times, and technical literacy. High-end creators face a trade-off: basic promotional blanks or massive inventory risk on fashionable products. Knitup solves this by enabling creators with no technical know-how to go from idea to premium products with no minimum requirement. With the advantage of full creative freedom, zero inventory liability, and rapid replenishment cycles, creators can target the premium segment with offerings of BCI Cotton and sustainable merino wool sweaters and beanies, or even step into the luxury tier segment with cashmere cardigan, dresses and blankets.

“We created Knitup to empower the next generation of creators by making the capabilities of a fashion design house accessible,” said Dorothy Pun, Founder of Knitup. “Creators and designers are enabled to make better products with minimal capital outlay. Brands and the planet are saved the burden of inventories. The world sees more creativity and innovation.”

Knitup addresses bottlenecks around mass customization for any knitted products by automatically turning digital design into knitting data that goes straight to knitting machines. What usually takes hours can now take minutes.

Since launching its online design platform in 2022, Knitup has grown to serve over 1,000 brands, ranging from emerging labels to established global names. Key capabilities include:

• No Minimums: Produce exactly what the market demands, precisely when it wants it, helping eliminate excess inventory.
• Design Expression: Bring visuals to life, from detailed custom jacquards to classic solid stitches and crisp embroidery.
• Creation Process, Edited: Styles are visualized using high fidelity virtual samples. No waste even if users over-design and kill many styles. All costed instantly. Guilt-free and simple. Also a perfect tool to get consumers’ feedback on social media.
• Sustainable Yarns: Access to environmental friendly materials that deliver both quality and great hand-feel.
• Agile Manufacturing: A frictionless three-week production lead time that allows brands to restock rapidly, introduce new styles at speed, or launch limited capsule collections in weeks.

From bold statement graphics to quiet luxury, Knitup makes conscious fashion accessible without sacrificing speed, quality, or creative expression.
Hashtag: #Knitup #CreatorCommerce #PremiumKnitwear

https://home.knitup.io/

The issuer is solely responsible for the content of this announcement.

About Knitup

Knitup is a new kind of design-to-manufacturing platform that caters to everyone, from visionary artists and makers to small businesses and even large global corporations.

We bridge the gap between creativity and commerciality by enabling easy access to a complex knitwear supply chain. Our deep heritage in manufacturing, combined with cutting-edge technology and extensive know-how, unlocks a world of possibility for a creator, brand, or business.

Ultimately, we believe in the power of self-expression. By providing the tools and resources for anyone to bring to life high-quality and sustainable products, we enable creativity to flourish everywhere. From fostering vibrant communities built on shared stories and collaboration, to established corporations venturing out into new avenues.

The expansion is being backed by more than $300 billion in announced investment commitments across data centres and associated digital infrastructure, putting the sector among the country’s fastest-growing infrastructure segments. The development pipeline could lift installed data centre capacity beyond 6.7 gigawatts by the end of the decade from more than 1.8 GW in the first half of 2026.

The scale of investment reflects a fundamental shift in the market as generative AI dramatically increases computing requirements. Cloud migration, digital payments, video streaming, 5G networks, enterprise digitisation and growing demand for local processing capacity are adding to workloads that require high-density computing facilities operating around the clock.

Forecasts differ considerably because industry studies use different definitions of operational capacity, committed projects and IT load. A separate assessment released in July projects operational data centre capacity at 12 GW by 2030, compared with 2.2 GW in 2025, as AI-focused capacity expands sharply. AI-dedicated capacity alone could rise from about 275 MW in 2025 to more than 6.5 GW by the end of the decade.

Power availability is emerging as one of the biggest constraints on that growth. Electricity demand from data centres is estimated to reach 13.56 GW by 2031-32, requiring major additions to generation, transmission and renewable-energy infrastructure. Developers are also adopting direct-to-chip liquid cooling, immersion cooling and other technologies designed to reduce the electricity and water requirements of increasingly dense AI computing installations.

Mumbai Metropolitan Region and Chennai remain the largest established data centre markets, benefiting from submarine cable connectivity, fibre infrastructure and concentrations of enterprise customers. Their position at international cable routes connecting Europe, West Asia and Southeast Asia has helped establish both regions as major gateways for hyperscale capacity.

Hyderabad, Delhi-NCR and Bengaluru are now attracting a larger share of planned development as operators seek new land, power and connectivity options. Hyderabad could add 600-700 MW by 2030 to its existing capacity of about 178 MW, while Delhi-NCR is expected to receive another 500-600 MW against a current base of roughly 179 MW.

Global technology companies and large domestic groups are driving the investment cycle. Google has begun construction of an AI hub in Visakhapatnam as part of an approximately $15 billion investment planned between 2026 and 2030. The project combines gigawatt-scale computing infrastructure with subsea connectivity and new energy capacity, making Visakhapatnam an emerging data centre location on the east coast.

Reliance Industries is developing a 168 MW AI-enabled data centre in Jamnagar that Meta will lease, with an option to expand capacity. The facility, expected to be delivered within two years of the June 2026 announcement, will use renewable electricity and desalinated seawater for cooling. It will become Meta’s first built-to-suit data centre capacity in the country.

Real estate groups are also moving into infrastructure traditionally dominated by specialised data centre operators. Lodha Developers has earmarked about 400 acres at Palava near Mumbai for a data centre park and plans roughly 1 GW of powered-shell capacity, with Amazon Web Services and STT Global Data Centres identified as anchor operators. The powered-shell development alone is expected to require roughly ₹10,000 crore to ₹11,000 crore.

Other projects are expanding the competitive field. Yotta Infrastructure is developing additional capacity in Greater Noida, Anant Raj is targeting 357 MW of IT load across locations in Haryana by FY2032, while Prestige Group and NTT Data have agreed to develop a Bengaluru facility with 100 MW of overall capacity and 67.2 MW of critical IT load. NTT is also among the companies pursuing substantial additions in Hyderabad.

The Summit was honored to have Miss Yvonne Ip, Acting Commissioner for Cultural and Creative Industries, as the Guest of Honour. In her address, Miss Ip highlighted the power of design to drive business growth and emphasized that the Hong Kong Design Summit, now in its third year, has become a key platform for industry exchange and collaboration, bringing design talent and enterprises together through flagship initiatives like DesignMatch, to turn creative ideas into commercial results. The Hong Kong Designers Association has been a pioneering force in the local design ecosystem for half a century, and CCIDA is proud to partner with HKDA to nurture design professionals, accelerate industrialization, and help local enterprises expand into international markets — advancing Hong Kong’s creative economy together.

Chairman’s Welcome: Driving Real Impact Through Strategic Focus

Opening the evening gala, Ms. Mui Kinoshita, Chairman of HKDA, delivered a heartfelt welcoming address reflecting on the Association’s post-pandemic transformation and strategic vision.

Reflecting on the Association’s post-pandemic vision, Ms. Kinoshita highlighted HKDA’s core strategy—”Two Awards, One Summit, One Platform“—designed to deliver tangible benefits by recognising individual design excellence, honoring corporate design investment, and driving commercial partnerships through DesignMatch. She celebrated HKDA’s expansion from 900 to over 1,300 members, calling it a testament to industry trust. Honoring the Association’s 50-year legacy, she paid tribute to founding pioneers whose dedication laid the foundation for Hong Kong’s creative sector. She concluded with a passionate call for open dialogue and unified collaboration to build a stronger, more caring design industry for the next generation.

Star-Studded Gathering of Design Icons and Industry Leaders

The Gala Dinner was anchored by an extraordinary gathering of creative heavyweights, founding pioneers, and distinguished guests across the design, creative sectors, and corporate leaders. Joining Guest of Honour Miss Yvonne Ip and Officiating Guests, including Dr. Kan Tai-Keung, SBS, BBS, Former Chairman of HKDA (Tenure: 1986, 1987, 1988), ⁠Mr. Steve Leung, BBS, Chairman of Hong Kong Design Centre, ⁠Mr. Alan Cheung, MH, Chairman of Hong Kong Design Council, Federation of Hong Kong Industries, ⁠Mr. Kevin Yeung, Chairman of Hong Kong Fashion Designers Association, were celebrated global design icons and industry leaders who attended in strong support of the Summit, including Ms. Vivienne Tam, Designer and Founder, Vivienne Tam Fashion House, Mr. Tino Kwan, Founder and Principal Consultant of the Tino Kwan Lighting Consultants Limited, and Mr. Gu Wei, Head of AIGC Design Business, Alibaba International Digital Commerce Group. The evening was further graced by prominent design masters, industry executives, and organisational representatives. Their presence, alongside premier corporate partners and judging leaders, underscored the unified strength and collective vision of Hong Kong’s creative community.

The annual event unfolds in two key segments: the Hong Kong Design Summit, featuring the Kick-off Ceremony, DesignMatch business matching, and a landmark MOU signing; followed by the BDA Brand Award 2026 Presentation Ceremony.

Hong Kong Design Summit 2026

The opening segment convenes industry leaders and creative professionals to foster commercial growth and educational innovation:

1. DesignMatch Business Matching Sessions: An exclusive, high-impact B2B networking initiative designed to bridge corporations and design professionals, driving immediate business opportunities and accelerating the translation of creative capital into commercial success.

2. Award-Winning Brands Showcase: A curated, high-visibility showcase where outstanding design firms and corporate awardees demonstrate successful project outcomes and share strategic market insights.

3. Strategic Tripartite MOU Signing: A milestone collaboration between School of Design, The Hong Kong Polytechnic University, Alibaba International Design, and Hong Kong Designers Association. The parties intend to explore opportunities for collaborative initiatives in design and AI-related education in the creative industry, as well as strategic collaboration for industry development across Hong Kong and the Greater Bay Area (GBA). Key potential areas of collaboration include:
A) Joint development and delivery of academic and professional training courses (with AI courses as the initial program collaboration);
B) Industry–academia partnerships to foster design-tech innovation and applied research;
C) Co-organisation of training courses, flagship events, forums, and summits to promote design excellence and cross-sector collaboration.

BDA Brand Award 2026 Presentation Ceremony

The second part of the event highlights design leadership and commercial results through an elite evening program, the BDA Brand Award 2026 Presentation Ceremony. An elite gathering celebrating outstanding brand design applications and recognizing excellence across diverse industries. This year’s competition attracted 150 brand entries from diverse industries, further solidifying BDA’s authoritative position as one of Hong Kong’s top brand awards. The BDA Brand Award invites nominations from professional designers or organizations, with submissions evaluated by a panel of experts based on three aspects: brand story, development, and achievements. Additionally, five assessment criteria are considered: 1) Environmental & Social Impact, 2) Cultural Impact, 3) Innovation & Technology, 4) Brand Image, Identity & User Experience and 5) Market Performance & Value.

The awards celebrated winners across multiple categories, including 1) Best Branding Image Award, 2) Best Cultural & Heritage Award, 3) Best ESG Award, 4) Best Innovation & Technology Award, 5) Best Media & Communication Award, as well as Best Award, Grand Award, and the prestigious Best of the Best Award.

A professional jury panel comprised of esteemed first-round judges—Prof Anthony Kong (Assistant Professor, School of Design, The Hong Kong Polytechnic University), Mr. Kirin Leung (Founder, Kirin+lab), Mr. Joe Wong (Founder, Joe Wong Design), Mr. Kenny Li (Founder, FM+ Concepts & FAVEbyKennyLi), and Mr. Jay Leung (Founder, Starz Group) as well as final-round judges—Ms. Mui Kinoshita (Chairman, HKDA), Prof. Viveca Chan (Founder and Chairman, WE Marketing Group), Ms. Hilda Chan (Chief Marketing Officer, HKSTP), Mr. Bosco Leung (Social Responsibility Lead, MTR Corporation Limited), and Mr. Jimmy Li (Head of Brand Partnership, Harvey Nichols Hong Kong). The judges meticulously assessed submissions through a rigorous process, including an initial online evaluation and live presentations.

From a pool of 150 exceptional brand entries, the jury evaluated each brand’s overall excellence, market impact, and alignment with the selection criteria in their respective fields. It is with great pleasure that we announce Sino Group「GoCircular」as the winner of the Best of the Best Award and fwah! as the winner of the Best of the Best Award (Startups). These brands have demonstrated unparalleled excellence, and their selection as winners is a testament to their outstanding achievements.

Additionally, 14 outstanding brands have been recognized with the Grand Award, including (in alphabetical order)

The full winner list of BDA Brand Award 2026 is listed on Appendix A.

Fostering Strategic Synergies and Future Growth

The 2026 Summit reinforces HKDA’s commitment to elevating design as a core commercial driver while empowering the next generation of designers through AI-driven education and regional integration. Through structured business matching, strategic academia-industry partnerships, and award recognition, the event continues to solidify Hong Kong’s position as a premier global hub for commercial design innovation.

For more details on the event and program updates, please visit the official website at https://www.hkda.hk/

Appendix A – BDA Brand Award 2026 Winners (*in Alphabetical order)

Corporate – Best of the Best

Corporate – Grand Award of the Year

Corporate – Best Award

Corporate – Best Innovation & Technology Award

Corporate – Best ESG Award

Corporate – Best Media & Communication Award

Corporate – Best Cultural & Heritage Award

Corporate – Best Branding Image Award

Startups – Best of the Best

Startups – Grand Award of the Year

Startups – Best Award

Startups – Best Innovation & Technology Award

Startups – Best ESG Award

Startups – Best Cultural & Heritage Award

Startups – Best Branding Image Award

Hashtag: #HKDA #BDABrandAward #BDA品牌大獎

The issuer is solely responsible for the content of this announcement.

About Hong Kong Designers Association (HKDA)

Established in 1972, the Hong Kong Designers Association (HKDA) was the first of its kind in Hong Kong and is a founding member of the Hong Kong Design Centre. Its core mission is to promote design’s public interest, cultivate young designers, and elevate the professional status of practising designers across sectors.

HKDA’s flagship programmes include the Global Design Award (GDA) (formerly known as Asia Design Awards), which has been celebrating outstanding global designs biennially since 1975; the Hong Kong International Poster Triennial (HKIPT), which has been documented the development of local and international poster design through competition, exhibition and symposium since 2000; the Sponsorship for International Design Awards (SIDA), a distinguished funding scheme for local designers and design-applying enterprises who are winners of international design awards, which has been running since 2011; Design X Technology (DXT), a progressive programme that integrates design and technology as core components in business strategy to drive innovation and competitive advantage since 2020; and BDA Brand Award (BDA) (formerly known as BDA Brand Design Awards), this award evaluates outstanding brand performance through a professional design lens, honoring long-term strategic commitment to design excellence, and was debuted in 2023, also other strategic initiatives including the Hong Kong Design Summit and the DesignMatch business matching programme connect design professionals directly with market demand across government, commercial, and industrial sectors.

With over 1,300 individuals and corporations in its diverse membership base, HKDA offers a wide range of membership options for professionals, associates, affiliates, students, and corporations that cover six design disciplines: Graphics, Spatial, Product, Digital, Fashion, and Education. Prioritising design excellence, education, technology integration, sustainability, business support, diversity, and inclusivity, HKDA has established itself as a vital platform for its members, as well as designers, businesses, and organisations throughout the Asia-Pacific region. Through its commitment to advancing these key areas, HKDA provides valuable resources, networking opportunities, and expert guidance to its members while also serving as a hub for innovation and collaboration in the design industry.

HKDA is committed to raising public awareness of the value and importance of design in society. It partners and collaborates with other design organisations and institutions worldwide, such as the World Design Organization (WDO) and International Council of Design (ico-D), to promote global design excellence, cultural diversity, and international design exchanges. By working with other design organisations on a global scale, HKDA aims to contribute to the development and advancement of the design industry, both locally and internationally.

Arjavi Indraneesh Iraq’s proposal for a joint security council bringing Saudi Arabia and Iran into a formal mechanism is more than another attempt at regional mediation. It reflects Baghdad’s growing conviction that diplomatic contact between the two powers, while valuable, is no longer sufficient to prevent security crises from spilling across borders. National Security Adviser […]

The article Iraq tests new security formula for Saudi-Iran rivalry appeared first on Latest India news, analysis and reports on Newspack by India Press Agency).

The facility, launched on August 18, expands the company’s Korea region only about 14 months after its second data centre began operating. Alibaba Cloud established its first South Korean data centre in 2022 after entering the market in 2016, reflecting a faster infrastructure build-out as demand for generative AI and enterprise AI agents increases.

The third site adds capacity for computing, storage, networking, databases, security, containers and cloud-native services. It will also support workloads requiring lower latency and stronger disaster-recovery arrangements, while giving customers more options to distribute applications across separate facilities.

Alibaba Cloud has not disclosed the new centre’s power capacity, investment cost, number of graphics processing units or current utilisation rate. The company has indicated that additional computing equipment can be installed as customer demand expands.

Operating three data centres also changes the resilience of Alibaba Cloud’s South Korean infrastructure. With two facilities, disruption at one centre could leave the remaining location handling workloads alone. The addition of a third allows applications to remain distributed between two facilities if another suffers an outage.

The expanded configuration has enabled Alibaba Cloud to raise the service-level availability commitment for its Korea region from 99.95% to 99.99%, strengthening its pitch to companies running business-critical applications and AI services.

Enterprise AI is becoming an increasingly important part of that strategy. Alibaba Cloud is introducing six agentic AI services in South Korea covering development, testing, deployment, operations and cybersecurity. They include AgentRun, STAROps, ACS Agent Sandbox, Agent Security Center, AI Security Guardrails 2.0 and Agentic SOC.

The services are aimed at companies seeking to move AI agents from experimental projects into production environments, where governance, reliability and security become more demanding. Enterprises are increasingly looking beyond access to large language models towards infrastructure capable of operating autonomous or semi-autonomous software agents at scale.

Alibaba Cloud is pairing those services with its broader full-stack AI offering, including infrastructure, development platforms and the Qwen family of AI models. Qwen models have recorded more than 3 billion downloads globally, while developers have created more than 300,000 derivative models based on the family.

South Korean companies are already using parts of Alibaba Cloud’s AI ecosystem. Gwangju-based Gendive has integrated Alibaba models including Wan for video generation and HappyHorse for image generation into its DevDive enterprise automation platform. NAVER Z’s ZEPETO platform also uses Alibaba Cloud infrastructure to support real-time 3D avatar generation and immersive services across Asian markets.

Alibaba Cloud has built local partnerships with companies including Megazone Soft and Team Sparta, seeking to combine its infrastructure with consulting, implementation and industry-specific services. Such alliances are important in a South Korean cloud market where global hyperscalers compete with strong domestic technology groups.

Data sovereignty is another factor shaping cloud investment. Businesses handling sensitive information increasingly want workloads hosted within national borders, particularly as regulators pay greater attention to cybersecurity, resilience and governance surrounding AI systems. Alibaba Cloud says its South Korean infrastructure is designed to comply with applicable local data-protection and cybersecurity requirements.

The Korea expansion forms part of Alibaba’s wider commitment to spend about 380 billion yuan, roughly $53 billion when the programme was announced, on AI and cloud infrastructure over three years. The group has already committed substantial capital to computing capacity, chips and AI development as it attempts to establish cloud services as a larger growth engine.

Alibaba Cloud revenue rose sharply in the April-June quarter of 2026, with cloud and AI-related sales reaching about 48.4 billion yuan and growing 45% from a year earlier. The expansion has come at a cost: Alibaba’s quarterly capital expenditure climbed to nearly 67.7 billion yuan as spending on computing infrastructure and semiconductor components increased.

The company has also expanded cloud infrastructure in France, Japan, Malaysia and Mexico. With the new South Korean facility, Alibaba Cloud says its global network has reached 104 availability zones across 30 regions.