Alibaba’s new CEO Eddie Wu communicated a growth strategy focussed on AI and customer experience to employees following a leadership reshuffle, South China Morning Post (SCMP) reported.

The message outlined his vision, with Wu apparently emphasising Alibaba needs to shift to an AI- and customer-first approach as it faces intense competition from rivals including Baidu, which last month set the goal of making its ChatGPT-like Ernie Bot the most popular foundation model in China.

Wu said Alibaba will “recalibrate” and reshape its business priorities.

He took over as head of the e-commerce giant and CEO of its cloud computing unit on 10 September from Daniel Zhang, who resigned less than three months after Alibaba announced he was to leave his roles as group chair and CEO to focus on the cloud unit.

After Zhang expressed interest in moving away from the cloud role, the company said he would manage a $1 billion technology fund to drive future growth, Associated Press wrote.

Alibaba split into six independent divisions in March and in May unveiled plans to list its cloud business.