Alibaba.com is introducing a new layer of automation to global sourcing through agentic artificial intelligence (AI) as it reports sharp gains in European buying activity and supplier participation across its marketplace.
At the B2B ecommerce platform inaugural CoCreate Europe event in London on Nov. 13, Alibaba.com unveiled AI Mode, a feature that embeds agentic artificial intelligence into the sourcing workflow. It plans to launch the tool in December. Alibaba designed it to interpret natural-language product requests, evaluate technical specifications and automatically compare factories on pricing, logistics, certifications and production capacity.
The announcement comes as Alibaba.com reports a 57% year-over-year jump in European order volume and a 50% increase in active suppliers worldwide. The company said the growth reflects stronger confidence among small and midsize enterprises engaging in cross-border trade and a growing appetite for AI-driven sourcing tools.
AI Mode represents the Alibaba.com’s most significant step yet toward agentic, machine-guided procurement. It builds on Alibaba.com’s September rollout of “deep search.” That uses large language models (LLMs) to interpret complex product descriptions and supplement keyword search.
“AI is no longer a supplementary tool at Alibaba.com,” said Kuo Zhang, president of Alibaba.com. “It’s evolving into the operating system of our platform.”
Alibaba owns the world’s two largest online marketplaces by gross merchandise value (GMV), Taobao and Tmall. Taobao ranks No. 1 in the Global Online Marketplaces Database, Digital Commerce 360’s ranking of the largest such marketplaces by GMV. Tmall ranks No. 2. Both platforms operate in China and primarily serve the Chinese market. Among Alibaba’s other marketplaces is the global B2B marketplace Alibaba.com.
Alibaba.com to debut agentic ‘AI Mode’
Alibaba noted that once activated, AI Mode will:
- Analyze buyer queries
- Extract requirements from documents or drawings
- Recommend suppliers that match the buyer’s specifications
The tool also integrates with the platform’s payments, Trade Assurance protections, and after-sales services. That creates a more automated pathway from product discovery to purchase, according to the company.
Accio, Alibaba.com’s AI-based B2B search engine that it introduced in 2024, powers the feature. With multimodal capabilities, Accio can read sketches, engineering blueprints, certificates and capability statements. In doing so, the company said, it can surface factories and specialized manufacturers that often go unnoticed in conventional search. The company refers to this as unlocking the “hidden product shelf,” a long-tail segment of niche suppliers with custom or region-focused expertise.
Alibaba.com’s European momentum aligns with broader shifts in the region’s business landscape, shaped by tighter sustainability regulations, supply chain diversification and heightened competitive pressure. Company-commissioned research conducted by Censuswide shows 90% of European SMEs see product innovation as essential to growth. Meanwhile, 62% say they are comfortable using AI tools for design, sourcing and production.
Against that backdrop, Alibaba.com said it designed AI Mode to help buyers:
- Navigate compliance
- Identify sustainable or specialized partners
- Accelerate the development of customized products
Each of those efforts typically require larger teams or longer timelines.
Industry research cited by Alibaba.com indicates that 90% of B2B buyers now rely on AI in sourcing and evaluation. That underscores a shift toward machine-assisted decision-making across procurement.
With AI Mode, Alibaba.com aims to turn that momentum into a structural advantage, positioning the platform as both a discovery engine and an automated sourcing partner as global trade becomes increasingly data-driven.
Sign up
Sign up for a complimentary subscription to Digital Commerce 360 B2B News. It covers technology and business trends in the growing B2B ecommerce industry. Contact Mark Brohan, senior vice president of B2B and Market Research, at mark@digitalcommerce360.com. Follow him on Twitter @markbrohan. Follow us on LinkedIn, X (formerly Twitter), Facebook and YouTube.
