Jack Ma, Alibaba's elusive architect, re-emerged from retirement to take the reins of the colossal yet placid Alibaba empire, instantly catalyzing a wave of transformations.
On June 20th, this wave engulfed Daniel Zhang. Zhang, the Chairman and CEO of Alibaba Group, is set to relinquish his roles by September 10th this year, transitioning to Alibaba Cloud. From an external viewpoint, this seems like a downgrade or displacement, a significant pivot after a mere four-year tenure as Alibaba's chief.
Such a radical shift, it seems, was already embedded in Ma's plans when he returned to China. This reshuffling is driven by business rationale, devoid of any dramatic power tussle. Even in his hiatus, Ma remained the unseen monarch of the Alibaba realm. His comeback marks the commencement of his reassertion of authority over Alibaba.
Thus, Alibaba is venturing into a novel era under the elusive influence of Jack Ma.
On March 27th, Ma made a public outing in Hangzhou, sharing a journey with Zhang in a Toyota Coaster. Soon thereafter, he visited the K12 Cloud Valley School, an institution funded by Alibaba, igniting fervent debates.
Just a day later, Alibaba unveiled a landmark structural overhaul in its history, known as the "One Split into Six". Under the aegis of Alibaba Group, six principal business groups were created - Alibaba Cloud Intelligence, Taobao Tmall Business, Local Life, Cainiao, International Digital Business, and Entertainment. Each of these groups is slated to operate autonomously, with plans for separate listings.
Effectively, this caused a dispersion of Zhang's authority. Subsequently, in the board of directors list released by Alibaba's business groups, Zhang, in his capacity as the group chairman, was only listed under Alibaba Cloud. In retrospect, this hinted at his impending shift to Alibaba Cloud.
Before the "618" e-commerce battle, Ma resurfaced in Hangzhou, conducting a compact briefing with the leaders of Taotian Group's various enterprises. Intriguingly, Zhang was not present at this gathering.
This was soon followed by Zhang's resignation.
Assuming Zhang's roles are Joseph Tsai and Wu Yongming - a "counterbalance" and a "secret armament", respectively. Both are Ma's emissaries.
Tsai, a "permanent partner" at Alibaba on par with Ma, now holds Alibaba's supreme authority. Ma once mentioned that among Masayoshi Son, Jerry Yang, Jin Yong, and Joseph Tsai, if he had to pick one person he was most indebted to, it would be Tsai.
Wu, the designated CEO, is a trusted aide of Ma's. Within Alibaba, he is known by his moniker "Dongxie", also called "Mother Wu". He was among the first to join Ma and his wife on their entrepreneurial journey.
On June 20th, the official transfer of responsibilities from Zhang to Tsai and Wu occurred.
In addition, several former Alibaba personnel who had left the company have now made a comeback. Peng Lei, Wang Jian, and Tong Wen Hong, among others, now hold pivotal roles in the newly divided six business divisions.
Zhang, naturally, remains a valued figure to Ma. As the future growth engine of the group's business and the division advancing quickest towards separate listing, Alibaba Cloud has been entrusted to Zhang.
With this, Jack Ma, the "elusive figure", has resumed his supremacy over Alibaba. The period of the Alibaba "roving master" has officially concluded.
For Ma, this is a considered and resolute move. Insiders intimate with Ma indicated that he was discontented with Alibaba's recent performance, prompting his return to action.
