Business Brief (April 17): AI Model Prices Rise on Compute Crunch

Published: Apr. 17, 2026 6:26 p.m. GMT+8

00:00

00:00/00:00

Listen to this article 1x

HOT TOPICS

Tech giants raise AI model prices amid compute shortage

Facing a severe global computing power shortage, Alibaba Cloud issued three price hike announcements in four days for multiple products. This follows recent price hikes for large language models by leading Chinese tech firms, including Tencent and Baidu.

Kweichow Moutai reports first annual declines in over 20 years

Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.

Subscribe to Save an extra $50. Introductory offer for new readers. Subscribe now.

Share this article

Open WeChat and scan the QR code

DIGEST HUB

Digest Hub

Back

Explore the story in 30 seconds

Tech giants like Alibaba, Tencent, Baidu raise AI prices amid compute shortage; China AI token use averages 140T/day, up 40%.
Kweichow Moutai sees first revenue (-1.2%) and profit (-4.5%) drops in 20+ years; CATL market cap hits 2.07T yuan.
China advises avoiding US entry via Seattle; US launches "Economic Fury" on Iran, lifting US oil exports to record.

AI generated, for reference only

Who’s Who

Alibaba Cloud: Alibaba Cloud issued three price hike announcements in four days for multiple products, amid a severe global computing power shortage. This follows similar increases for large language models by Tencent and Baidu.

Tencent: Tencent, a leading Chinese tech firm, recently raised prices for large language models amid a global computing power shortage, following Alibaba Cloud's multiple price hikes.

Baidu: Baidu, a leading Chinese tech firm, recently raised prices for its large language models amid a global computing power shortage, following Alibaba Cloud's multiple price hikes.

Kweichow Moutai Co. Ltd.: Kweichow Moutai Co. Ltd. reported its first year-on-year declines in revenue and net profit since going public (over 20 years). The 2025 annual report showed revenue down 1.2% and net profit down 4.5%, signaling a deep adjustment in China's liquor industry.

Contemporary Amperex Technology Co. Ltd. (CATL): CATL's A-share market cap crossed 2 trillion yuan for the first time, reaching 2.07 trillion yuan by Thursday's close. The battery giant reported Q1 revenue up 52.5% YoY and net profit up 48.5% YoY.

AI generated, for reference only