Alibaba created a new media and entertainment company. (Photo : Getty Images)
Jack Ma's Alibaba recently formed a venture with Youku Tudou, web browser UCWeb, Alibaba Pictures Group Ltd. and the company's gaming, literature, music and digital business units to form Alibaba Digital Media and Entertainment Group.
The recent investment cost Alibaba $1.48 billion to capitalize new projects for media and entertainment. Yu Yongfu, the former chief executive officer of UCWeb, will become chairman and CEO of the new group.
Yu will be reporting directly to Alibaba CEO Daniel Zhang. Victor Koo will step down as the chairman and CEO of Youku Tudou to become head of the new venture.
Despite the slowing down of the Chinese economy, Alibaba has been heavily investing in media. The Internet bigshot has also invested in Hollywood, putting a large stake in the latest "Mission Impossible" movie franchise.
Other movie investments include "Teenage Mutant Ninja Turtles: Out of the Shadows," "Star Trek Beyond" and Korean title "REAL."
Jack Ma also announced recently that they have bought a big share of Amblin Entertainment. The outfit's executive, Steven Spielberg, expressed excitement over the new partnership.
A spokesperson from Alibaba said that the investment fund and the creation of the Digital Media & Entertainment Group form a significant milestone in Alibaba's Double H (Health and Happiness) initiative which will "further enrich our overall ecosystem."
Alibaba also bought rights to produce the movie based on the children's book, "Warriors." The book was published by HarperCollins in the U.S. in 2003 and has sold more than 30 million copies worldwide.
"Alibaba Pictures is planning to turn Warriors into a film franchise that will bring to life the spectacular animal and jungle worlds depicted in the novels, using world-leading visual effects," said Zhang Wei, president of Alibaba Pictures in a statement.
