Details
🏢 Background: Banma was founded in 2015 as a joint venture between Alibaba and SAIC Motor. In 2020, Alibaba took control and integrated AliOS.
📈 Market Position: By 2024, Banma was China’s largest provider of smart-cockpit solutions, installed in more than 2.3 million vehicles.
📉 Challenge: Despite growth, Banma remains unprofitable, posting a net loss of CNY 847 million (USD 118 million) in 2024.
📊 Spin-Off: Alibaba plans to reduce its stake in Banma Network Technology from 44.7 percent to about 30 percent and list the subsidiary via an IPO in Hong Kong.
💰 Financing: Proceeds will fund R&D in smart cockpits, international expansion, and potential acquisitions.
Big Picture
With Banma’s spin-off, Alibaba is unlocking capital for the future field of autonomous and smart driving. The move highlights how Chinese tech giants are positioning their auto-tech subsidiaries as independent growth stories in the capital market. For Alibaba, it also signals to investors a stronger focus and a push to make unprofitable segments more independent.
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