Alibaba and Google Expand AI Focus into Robotics and Devices

Alphabet's Google and China's Alibaba have unveiled new initiatives that extend artificial intelligence applications beyond software into the physical realm of robotics and devices. The announcements, made on October 8, 2025, highlight the companies' strategic pivot toward embodied AI as a growth driver amid intensifying global competition.

Alibaba Group has established an in-house robotics and embodied AI team within its Qwen division, signaling its most explicit move into physical AI systems. Qwen's technology lead Justin Lin emphasized the transition from VIRTUAL to physical applications, reflecting Alibaba's push to translate generative AI advances into tangible products. The company recently led a $140 million funding round for robotics startup X Square Robot, with CEO Eddie Wu projecting global AI investment to reach $4 trillion over five years.

The developments coincide with accelerated robotics investments from rivals like Nvidia, SoftBank, and ABB. SoftBank's $5.4 billion acquisition of ABB's industrial robot business and Nvidia's public endorsements of embodied AI underscore the sector's strategic importance.