Alibaba Cloud price reductions: Alibaba Cloud announced on Thursday its plans to implement the most notable price cuts to date, reducing the prices of certain products by up to 55 per cent. 

The move comes amid heightened competition to attract heavy users, particularly developers focused on artificial intelligence (AI) software. This marks the second instance within a year that the cloud division of Alibaba Group Holding has reduced prices, following reductions of up to 50 per cent in April. 

The company disclosed that it will lower prices for over 100 products by an average of 20 per cent.

Alibaba's decision to reduce prices reflects its ongoing efforts to encourage developers to utilise its cloud services for building data-intensive AI models and applications. 

Competitors like Tencent Holdings and Huawei Technologies, which also slashed cloud prices last year, have been actively promoting incentives to entice tech firms to develop AI solutions within their platforms.

"We decided to launch the price reduction campaign to lower the threshold of cloud services for more enterprises and developers," stated Alibaba Cloud executive Liu Weiguang at a conference in Beijing on Thursday. 

He stressed Alibaba's goal to establish the most open cloud platform in the market.

Alibaba Cloud, one of China's earliest players in cloud computing, currently serves approximately one-third of the local market share.

(With Reuters Inputs)