Alibaba Plans on Offering Software Services

Tao Wang, the CEO of Alibaba’s software division told local media yesterday that the company is currently forming partnerships with more than 20 independent software developers to offer its business clients online management software. The software will be delivered online and Alibaba will share revenues with its developers. Unlike packaged software, software as a service or SaaS does not require a heavy initial investment and clients can pay based on the level of usage. Pearl Research believes since Alibaba’s core B2B business has already accrued a large number of small- to medium- sized businesses, the company will be able to leverage its existing client base to promote the online software service.