China’s Alibaba Group is selling its gaming division Lingxi Games for at least $1.5 billion to get rid of non-core assets and direct all its resources into the development of artificial intelligence.
China’s Alibaba Group is selling its gaming division Lingxi Games for at least $1.5 billion to get rid of non-core assets and direct all its resources into the development of artificial intelligence.
According to Bloomberg, the buyer of Lingxi Games was Asian private equity firm Trustar Capital, and the deal has already been reached.
«Alibaba is transferring Lingxi Trustar to better focus on its strategic priorities,» commented Lingxi Games CEO Zhou Bingshu, without disclosing the amount of the deal.
At the same time, as Bloomberg News reported last week, the studio’s value could exceed $1.5 billion.
Alibaba is undergoing a broad corporate reorganization under CEO Eddie Wu, shedding non-core assets while making artificial intelligence and cloud computing a top strategic priority. The company’s goal is to reach $100 billion in revenue from artificial intelligence within five years.
Alibaba already released its largest AI model this month, claiming its performance is on par with world leader Anthropic, the latest Chinese technological breakthrough to challenge American competitors.
Meanwhile, Lingxi’s highest-grossing game is Three Kingdoms: Strategy Edition, a massively multiplayer online strategy game developed in partnership with Japanese company Koei Tecmo Holdings.
As dev.ua wrote, in early August, Alibaba introduced Qwen3.8-Max — its largest AI model with 2.4 trillion parameters.
