Zhang has decided to step down as head of Alibaba’s cloud division, the company said in an internal memo seen by Bloomberg on Sunday. The director took over that position after relinquishing his dual roles of CEO and chairman to Eddie Wu and Joseph Tsai, respectively. Wu and Tsai – both close confidantes of Alibaba co-founder Jack Ma – took the stand on Sunday.
Zhang’s departure ends a storied period in which Alibaba became China’s largest company and ventured into new arenas such as physical retail. An Alibaba representative confirmed Zhang’s departure. The former CEO will now helm a $1 billion technology investment fund on behalf of Alibaba.