[Nomura: The Computing Conference highlights the company’s ambition to build an integrated AI infrastructure stack covering models, chips and cloud capacity, maintaining Alibaba’s “buy” rating] On September 23, Nomura released a report stating that Alibaba’s 2026 Computing Conference highlighted the company’s ambition to build an integrated AI infrastructure stack covering models, chips and cloud capacity. CEO Wu Yongming believes that AI is still in the early stages of infrastructure expansion, and the increasing capabilities of intelligent materials have driven a substantial increase in computing power and token (word element) consumption. Alibaba aims to have a global operating data center capacity of 20 GW in 2032, compared with the bank's current estimate of about 4 GW. Capacity material combines owned, leased and third-party funded infrastructure, limiting direct balance sheet capital expenditure requirements. The bank believes that this goal strengthens the long-term growth potential of Alibaba Cloud and external AI cloud revenue, and estimates that when the operating capacity reaches 20 gigawatts, external AI cloud revenue may reach US$168 billion by fiscal year 2032. The bank maintains Alibaba's "buy" rating, and the target price of U.S. stocks remains unchanged at $178, which is equivalent to a price-to-earnings ratio of 22 times for the calendar year 2027 (fiscal year 2028), compared with about 15 times currently.