Why a Former Alibaba Employee Spoke Out — And Why It Struck a Chord in China
Last week, a lengthy internal memo by former Alibaba employee Yuan An went viral on Chinese social media — sparking intense discussion among tech professionals and alumni alike. While the document includes personal reflections and may contain unverifiable claims, many of the issues raised resonate widely within China’s tech sector.
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Yuan An’s 10,000-word critique paints a picture of a company that, despite its vast scale, has drifted away from the values that once defined its success. What began as a mission-driven organization built on innovation and customer focus is, he argues, increasingly weighed down by internal dysfunction and cultural erosion.
At the heart of the memo is a warning: Alibaba is losing its soul.
Yuan An describes a shift from “customers first” to “boss first”, where internal politics outweigh original values. He claims the once-celebrated principles of teamwork and transparency have given way to internal rivalry, fear-driven silence, and careerism. Loyalty is now more often directed upward than outward — toward the mission or the customer.
He also outlines a pattern of failed investments and missed innovation opportunities — from Koubei and Ele.me to Youku Tudou and Lazada — suggesting that the company struggles to adapt beyond its e-commerce origins. Internal innovation has slowed, and strategic vision appears disconnected from real user needs.
Culturally, Yuan highlights rising bureaucracy, ambiguous reward structures, and what he calls “level inflation”, where inflated titles mask a lack of real authority or impact. The internal talent pool, he says, is becoming fragmented — filled with both hyper-aggressive “wild dogs” chasing quick wins and “white rabbits” contributing little but remaining protected by unclear performance systems.
Human Resources, once viewed as a champion of culture and integrity, is criticized for shifting its focus entirely toward performance metrics — allegedly silencing dissent and enabling toxic management behavior.
Jack Ma himself reportedly acknowledged the memo, which speaks to the seriousness of its content.
Yuan An doesn’t just critique — he calls for reform. He urges Alibaba to return to its roots by reviving its values, reforming HR, dismantling the “boss culture”, increasing internal transparency, and shedding non-core businesses. His message is clear: without soul-searching and structural change, scale alone won’t secure Alibaba’s future.
More than a grievance, this letter is a reflection of a broader identity crisis facing China’s tech giants — and a call for companies to reconnect with the principles that once made them great.
