Alibaba said the total investment amount exceeds the company's spending in AI and cloud computing over the past decade.

Chinese tech giant Alibaba said Monday it will spend more than $50 billion on artificial intelligence (AI) and cloud computing over the next three years, a week after co-founder Jack Ma was seen meeting President Xi Jinping.

Alibaba Group Holding Ltd.’s U.S.-listed stock fell nearly 7% on Monday after the online retailer said it plans to spend about $53 billion over the next three years on its cloud computing and Artificial Intelligence infrastructure. The spending plan amounts to nearly eight times its most recent quarterly profit of $6.7 billion.