China’s Alibaba Spins Off Aliyun Mobile OS, Puts $200 Million Investment

Posted on Sep 20 2012 - 3:06pm by Karan Chopra

Tech In Asia reporting that Chinese e-commerce giant Alibaba has spinned off its Aliyun mobile operating system division and event putting into in it an investment of worth $200 million. The decision comes just a week after Aliyun had gone through major setback with when Google slammed back on it as saying having an incompatible Android version. In a memo written by Alibaba founder and CEO Jack Ma, Ma explains:

After two years of hard work mixed with trials, we have seen significant progress in the Aliyun OS business. We have built a strong team and also gained recognition from our business partners. To better safeguard the healthy growth of Aliyun OS business and further implement the [Alibaba] Group’s Aliyun wireless strategy, we need to make adjustments 
in terms of talent, organizational structure and the Group’s resource allocation.

The management is making the following decisions:

  • The Aliyun OS business will spin off from Alibaba Cloud Computing [Alicloud/Aliyun] as an independent operation.
  • Jonathan Lu [Lu Zhaoxi] will be appointed chief data officer and president of the Aliyun OS business; Wang Jian will be appointed chairman and chief technology officer of the Aliyun OS business and will continue to serve concurrently as chief technology officer of Alibaba Group.
  • The company will invest US$200 million into the Aliyun OS business, to strengthen its talent base, technology, and infrastructure.

Fellow Aliren [Alibaba employees], the company has a lot to strive for and a long way to go. Thank you to everyone that has made contributions to the development of Aliyun OS. I believe that the Aliyun OS business will be better than ever with all your support.

About the Author

Karan is an internet enthusiast, who loves to explore every second thing in both technology and business.