DonkeyGenius
Uncle Leon sg
:
I think it's a good thing for them to cut price to gain market share in their cloud business. Yes short term their financials might not look good cuz of this price cut impacting revenue, but from a business perspective if this move help them increase their customer count significantly, I think it's a good trade off
DonkeyGenius
:
Eventually these customers will be generating recurrent revenue for Alibaba making them a sticky loyal customer. Something Alibaba is aiming to achieve
股勇者
:
it's not so much about the red sea ie price war, but the govt policy shifted to retail (实体店 now to revive their economy esp the retail n real estate.
DonkeyGenius
Mr Careful
:
Hmm, if baba has superior cloud products than its competitor, i dont think one has to worry too much. Especially when baba have so much more free cash flow to invest in its cloud infrastructure and R&D, I think they would outperform its competitors in China given the sheer size of its business
102984910 : Lol
Mr Careful : when they cut price for cloud, it is time to exit for a while
Uncle Leon sg : They cut the cloud pricing up to 55% that shows how desperate they are for business. Not a good sign in show term
DonkeyGenius Uncle Leon sg : I think it's a good thing for them to cut price to gain market share in their cloud business. Yes short term their financials might not look good cuz of this price cut impacting revenue, but from a business perspective if this move help them increase their customer count significantly, I think it's a good trade off
DonkeyGenius : Eventually these customers will be generating recurrent revenue for Alibaba making them a sticky loyal customer. Something Alibaba is aiming to achieve
Mr Careful DonkeyGenius : bro, the prob is that their competitors lowered their prices as well. basically, they are killing each other.
102156718 : Baba, JD, Bidu, they lower cloud pricing. Stiff competition, pump it and time to get out.
股勇者 : it's not so much about the red sea ie price war, but the govt policy shifted to retail (实体店 now to revive their economy esp the retail n real estate.
Sam62020 : who is adam khoo? what kind of credentials?![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
DonkeyGenius Mr Careful : Hmm, if baba has superior cloud products than its competitor, i dont think one has to worry too much. Especially when baba have so much more free cash flow to invest in its cloud infrastructure and R&D, I think they would outperform its competitors in China given the sheer size of its business
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