Alibaba has announced a large update to its main AI model, Qwen, as part of a strategic move to keep up with competition in the fast-evolving AI landscape. The new version, Qwen3.5, is designed to support AI agents by processing text, photo, and video inputs, and it can analyze videos up to two hours long. This release comes just as numerous competitors, including ByteDance and Zhipu, announce their advancements in AI technology in anticipation of the crucial Chinese New Year holiday.

The ramp-up of AI innovations appears to be a preemptive strike ahead of the much-anticipated launch of DeepSeek, which marks the first anniversary of its groundbreaking R1 model. The advancements from Alibaba and its competitors aim to position them favorably in the consumer internet application market, where traditional norms of AI are on the verge of transformative change. The timing suggests that these companies are not only racing towards technological advancement but are also strategically ensuring they capitalize on consumer engagement during a pivotal holiday period.

As the competition heats up, the release of these AI models signifies a shift in the industry dynamics, with companies like Alibaba eager to assert their dominance. With the Chinese New Year typically heralding significant consumer usage of internet applications, the stakes are high for these companies to roll out effective and innovative AI solutions that will capture and retain user interest well into the coming year.