SHANGHAI (Reuters) – Alibaba Group’s work communication and collaboration platform DingTalk is set to split from the company’s cloud division, according to sources familiar with the matter.
Though the exact timing of the split remains unknown, these sources did not confirm recent reports by Chinese media outlet Caixin suggesting that DingTalk is planning its own initial public offering (IPO) in the near future.
Requests for comment on the split from Alibaba’s Cloud Intelligence Business Group have not yet been responded to.
Alibaba’s DingTalk is a platform used for work communication and collaboration, similar to other popular platforms such as Slack and Microsoft Teams.
The sources did not provide details about the reasons behind the split, but it may indicate Alibaba’s desire to focus on separate strategies for its cloud business and DingTalk.
This move could potentially bring new opportunities for both platforms, as they can now pursue individual growth strategies tailored to their respective markets.
Alibaba, a Chinese multinational conglomerate, has been rapidly expanding its cloud services in recent years, aiming to compete with leading global providers such as Amazon Web Services, Microsoft Azure, and Google Cloud.
DingTalk, on the other hand, has gained popularity among both small and large businesses in China, providing efficient and convenient tools for teams to communicate, collaborate, and manage their work remotely.
By splitting from the cloud division, DingTalk may have more flexibility to innovate and cater to the specific needs of its user base.
However, without an official confirmation or statement from Alibaba, the details of the split and any potential IPO plans remain uncertain.
Reporting by Casey Hall; Editing by Himani Sarkar
Credit: The Star : Tech Feed
