• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Techquantum computing

Alibaba’s cloud unit teams with Chinese researchers on quantum computing

Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
July 30, 2015, 11:01 AM ET
An employee is seen behind a glass wall with the logo of Alibaba at the company's headquarters on the outskirts of Hangzhou, Zhejiang province
An employee at Alibaba's headquarters on the outskirts of Hangzhou. Photograph by Chance Chan — Reuters

Quantum computing which, in theory, taps the power of quantum mechanics to create better, faster, smaller computing devices, is a potentially huge opportunity. And now Alibaba’s(BABA) Aliyun cloud unit and the Chinese Academy of Sciences have agreed to build a new research facility to further research this field.

Both parties have agreed to build a new Shanghai-based Alibaba Quantum Computing Laboratory which will look into new security technology for e-commerce and data centers, based on quantum mechanics. Clearly, security is a huge strategic focus for Alibaba, which is China’s largest e-commerce provider and which runs the data centers running both e-commerce sites and the Aliyun cloud.

From Alibaba’s statement:

Both parties will jointly promote the research, development, dissemination and application of quantum computing to lay a strong and stable technical foundation for China to push the envelope on quantum computing.

Quantum computing, which would harness the power of molecules and atoms, is a natural extension of the continued miniaturization of the computing era , where ever more transistors get packed onto microprocessors per the edicts of Moore’s Law. But moving that to the atomic scale could unleash a lot more computing power.

Google(GOOG), IBM(IBM), Microsoft (MSFT) and other tech superpowers are working on their own quantum computing efforts.

While practical applications for quantum computers are still a ways off, cybersecurity and cryptography will likely be hot spots. As Stratfor Global Intelligene reported earlier this month, quantum computers will be able to perform mathematical calculations in a timeframe that today’s computers cannot match. They could, for example, unlock “Shor’s algorithm” which is a way to find the prime factors of any large number. That breakthrough, in turn, would make cracking complex codes much easier and faster.

“A quantum computer can do in minutes or hours what a classical computer would take years or much longer to do. Of course, the floodgates of stored data will not suddenly open once Shor’s algorithm comes into play; quantum computers could also be use to encrypt information far more securely than is possible with classical computers, something already under intense study.”

This partnership news comes at a time when Alibaba is pushing its cloud business beyond China to the U.S. and elsewhere where it will compete with Amazon(AMZN) Web Services and other U.S.-based cloud providers. The company this week said it is investing $1 billion to fund that growth. This joint effort with the Chinese Academy of Sciences is part fo that investment, an Aliyun spokeswoman said

Sign up for Data Sheet, Fortune’s daily newsletter about the business of technology.

About the Author
Barb Darrow
By Barb Darrow
See full bioRight Arrow Button Icon

Latest in Tech

Sarandos
Arts & EntertainmentM&A
It’s a sequel, it’s a remake, it’s a reboot: Lawyers grow wistful for old corporate rumbles as Paramount, Netflix fight for Warner
By Nick LichtenbergDecember 13, 2025
3 hours ago
Oracle chairman of the board and chief technology officer Larry Ellison delivers a keynote address during the 2019 Oracle OpenWorld on September 16, 2019 in San Francisco, California.
AIOracle
Oracle’s collapsing stock shows the AI boom is running into two hard limits: physics and debt markets
By Eva RoytburgDecember 13, 2025
4 hours ago
robots
InnovationRobots
‘The question is really just how long it will take’: Over 2,000 gather at Humanoids Summit to meet the robots who may take their jobs someday
By Matt O'Brien and The Associated PressDecember 12, 2025
17 hours ago
Man about to go into police vehicle
CryptoCryptocurrency
Judge tells notorious crypto scammer ‘you have been bitten by the crypto bug’ in handing down 15 year sentence 
By Carlos GarciaDecember 12, 2025
18 hours ago
three men in suits, one gesturing
AIBrainstorm AI
The fastest athletes in the world can botch a baton pass if trust isn’t there—and the same is true of AI, Blackbaud exec says
By Amanda GerutDecember 12, 2025
19 hours ago
Brainstorm AI panel
AIBrainstorm AI
Creative workers won’t be replaced by AI—but their roles will change to become ‘directors’ managing AI agents, executives say
By Beatrice NolanDecember 12, 2025
19 hours ago

Most Popular

placeholder alt text
Economy
Tariffs are taxes and they were used to finance the federal government until the 1913 income tax. A top economist breaks it down
By Kent JonesDecember 12, 2025
1 day ago
placeholder alt text
Success
Apple cofounder Ronald Wayne sold his 10% stake for $800 in 1976—today it’d be worth up to $400 billion
By Preston ForeDecember 12, 2025
23 hours ago
placeholder alt text
Success
40% of Stanford undergrads receive disability accommodations—but it’s become a college-wide phenomenon as Gen Z try to succeed in the current climate
By Preston ForeDecember 12, 2025
22 hours ago
placeholder alt text
Economy
For the first time since Trump’s tariff rollout, import tax revenue has fallen, threatening his lofty plans to slash the $38 trillion national debt
By Sasha RogelbergDecember 12, 2025
18 hours ago
placeholder alt text
Economy
The Fed just ‘Trump-proofed’ itself with a unanimous move to preempt a potential leadership shake-up
By Jason MaDecember 12, 2025
16 hours ago
placeholder alt text
Success
At 18, doctors gave him three hours to live. He played video games from his hospital bed—and now, he’s built a $10 million-a-year video game studio
By Preston ForeDecember 10, 2025
3 days ago
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.