The E-commerce Giant Alibaba Group founder Jack Ma officially retired from his role as chairman Tuesday, marking the end of an era for the world’s largest e-commerce firm.
Jack Ma is handing over the reins to current CEO Daniel Zhang, who now faces the difficult task of steering Asia’s most valuable listed firm at a time when growth in its core e-commerce sector has slowed significantly, China’s economy is faltering and trade tensions are on the rise.
Jack Ma started Alibaba with a group of friends out of his Hangzhou apartment back in 1999, struggling for years before eventually going on to spark the country’s e-commerce boom. It is now a $460 billion behemoth, with most of its income coming from within mainland China.
Ma is stepping down on his 55th birthday, which coincides with Alibaba’s 20th anniversary.
This retirement announcement raised eyebrows at the time, as it’s unusual for top Chinese executives to step down at such an early age. The former English teacher has said he now plans to turn more towards philanthropy, with a focus on education.
In some ways, the transition is symbolic, as Ma will not totally vanish from the scene. He still holds a 6.22% share and will stay on the board of directors until next year’s annual shareholders’ meeting. After that, he will remain a member of the 38-person Alibaba Partnership, a group with the power to nominate or appoint board members.
Alibaba’s stock price has risen about 10% in the past year, and revenue in the last quarter was up 42% year-on-year to about $16 billion.
