Glance: Alibaba’s tentacles into Chinese retail

The Associated Press

Alibaba Group, the Chinese e-commerce powerhouse that filed to offer its shares to U.S. investors Tuesday, has stretched its tentacles deep into China’s other major Internet companies.

Its mainstay retail businesses, accounting for 83 percent of its $6.51 billion in revenue in the last nine months of 2013, are online marketplaces Taobao, Tmall and Juhuasuan.

Here’s a look at those businesses as well as the various other Alibaba investments that give it a stake in social media, maps, mobile Web browsers, online video, brick-and-mortar retail and package delivery:

MARKETPLACES

— Taobao, launched in 2003, is “China’s largest online shopping destination,” Alibaba says. Think eBay or Amazon, but in China.

— Tmall, launched in 2008, is China’s third-party retail platform that lets brands and shops sell directly to customers.

— Juhuasuan, launched in 2010, is a popular group buying marketplace — think Groupon — in China.

— AliExpress, launched in 2010, targets worldwide customers who want to buy products directly from wholesalers and manufacturers in China. Alibaba says many of the site’s customers are in Russia, the U.S. and Brazil.

— Alimama, launched in 2007, provides marketing services to Alibaba Group’s sellers.

— 1688, formerly Alibaba.com, which launched in 1999, is a wholesale online marketplace in China.

PAYMENTS

— Alipay, launched in 2004, is a payment processor for Alibaba’s marketplaces.

CLOUD

— Alibaba Cloud Computing, launched in 2009, uses Alibaba infrastructure to offer services to other clients much like Amazon Web Services.

MOBILE

— UCWeb Inc. is a Chinese developer of mobile Web browsers. Alibaba has a 66 percent stake.

— Weibo Corp. is a Chinese microblogging site is similar to Twitter or Facebook whose stock is publicly traded on the Nasdaq. Alibaba paid about $1.04 billion for a 30 percent stake.

— TangoMe Inc. is a U.S.-based company offering free voice, video and text messaging services globally. Alibaba paid $217 million for a 20 percent stake.

ONLINE-TO-OFFLINE (O2O) COMMERCE

— AutoNavi Holdings Ltd. provides digital map and navigation services in China. Alibaba paid $294 million for a 28 percent stake and last month agreed to buy all outstanding shares for another $1.13 billion.

— Intime Retail (Group) Co. Ltd. is a Hong Kong Stock Exchange-listed department store operator. Alibaba agreed to invest 5.37 billion Hong Kong dollars ($692 million) for a 26 percent stake.

DIGITAL MEDIA

— Youku Tudou Inc. is an Internet TV company listed on the New York Stock Exchange. Alibaba agreed to invest $1.09 billion for a 16.5 percent stake.

— ChinaVision Media Group Ltd. is a producer of movies and TV shows that is listed on the Hong Kong Stock Exchange. Alibaba agreed to invest 6.24 billion Hong Kong dollars ($805 million) for a 60 percent stake.

— Wasu Media Holding Co. Ltd. is a digital media broadcaster and distributor. Alibaba co-founder Simon Xie obtained a 6.5 billion yuan ($1.04 billion) loan to finance a minority investment in Wasu.

LOGISTICS

— Zhejiang Cainiao Supply Chain Management Co. Ltd., otherwise known as China Smart Logistics, operates a national logistics infrastructure. Alibaba has agreed to invest 2.4 billion yuan ($386 million) for a 48 percent stake.

— Haier Electronics Group Co. Ltd. is an electronics and appliances maker. Alibaba invested 2.82 billion Hong Kong dollars ($364 million) for a 2 percent stake in Haier and up to a 34 percent stake in a Haier logistics subsidiary.

OTHER

— CITIC 21CN Co. Ltd. develops product identification and tracking systems. Alibaba invested 932 million Hong Kong dollars ($120 million) for a 38 percent stake.

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Source: Alibaba securities filing.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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