Alibaba’s ex-CEO quits as Jack Ma’s lieutenants take helm
afr.comAlibaba Group Holding Ltd’s former chief Daniel Zhang has decided to quit just months after agreeing to lead its cloud division, introducing another layer of uncertainty to China’s largest e-commerce company just as it’s navigating a complicated breakup.
Zhang decided to step down as head of Alibaba’s cloud division, the company said in an internal memo seen by Bloomberg News. The executive assumed that post – regarded as pivotal within the organisation – after ceding his dual roles of chief executive officer and chairman to Eddie Wu and Joseph Tsai, respectively. Wu and Tsai, close confidantes of Alibaba co-founder Jack Ma, formally took up their positions on Monday.
Former Alibaba Group Holding chief Daniel Zhang. The Washington Post
Alibaba’s shares fell as much as 3.5 per cent, their biggest fall in three weeks, as investors pondered the ramifications for the company’s ongoing restructuring and its biggest business after e-commerce.
Tsai and Wu are taking over from Zhang just as the Hangzhou-based company navigates a complicated overhaul that will break the Chinese internet leader into several standalone companies in sectors from cloud services to logistics and online shopping. The pair now shoulder the responsibility for turning around a $230 billion corporation that’s struggled to regain its footing since Beijing’s regulatory assault against the internet sector in 2021.
Zhang’s departure ends a storied eight-year tenure, during which Alibaba became China’s largest company and ventured into new arenas such as physical retail, which grew into one of the company’s fastest growing businesses. An Alibaba representative confirmed Zhang’s departure. The former CEO will now steer a $1 billion technology investment fund on
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