Jin Rong Jie·2025-08-21 05:56Core Viewpoint - Alibaba Group announced the spin-off of its subsidiary, Zhaoma Network Technology Co., Ltd., aiming for an independent listing on the Hong Kong Stock Exchange, with Alibaba retaining over 30% ownership post-spin-off [1][4]. Company Overview - Zhaoma Network was established in November 2015 through a joint investment by Alibaba and SAIC Group, focusing on the development of intelligent automotive operating systems and solutions [3]. - The company provides three core solutions: system-level OS solutions based on self-developed AliOS, AI end-to-end solutions including voice interaction and visual perception, and in-car platform services integrating payment, navigation, and application ecosystem [3]. - According to Zhaoma Consulting, Zhaoma Network is the largest software-centric intelligent cockpit solution provider in China by projected 2024 revenue and also ranks first in solution deployment [3]. Strategic Considerations and Market Outlook - The spin-off will allow Zhaoma to reflect an independent valuation, enabling investors to assess the performance and potential of both Zhaoma and Alibaba separately [4]. - The intelligent cockpit market is expected to grow rapidly, with projections indicating that the market size for intelligent cockpit solutions in China will reach 327.4 billion RMB by 2030, particularly for software-based solutions [4]. - Zhaoma Network will leverage Alibaba Group's technological and ecological advantages across various fields, including voice, vision, chips, IoT, cloud computing, maps, payments, and e-commerce [4]. - Deutsche Bank, CICC, and Guotai Junan International are acting as joint sponsors for the upcoming listing, which still requires approval from the Hong Kong Stock Exchange and relevant filings with the China Securities Regulatory Commission [4].