Similarly to its competitors, Aliyun cloud provides services such as storage space for companies and protection against cyberattacks. Where Yu thinks Aliyun is different is its ability to handle "big data."
Yu said Singles' Day in November, China's equivalent of Cyber Monday, showed how Aliyun could process and analyse large swathes of data. In 2014, Alibaba sales topped $9 billion on Singles' Day. Aliyun is the cloud service behind Alibaba's e-commerce platforms such as Taobao and Tmall.
"This is very key to not only Alibaba as a group, but Aliyun as a business," Yu said, adding that Aliyun lets businesses analyze large amounts of data that they "can't explore with traditional IT systems".
Alibaba has previously said it would expand Aliyun into Southeast Asia and Europe, but a further push into the U.S. would make sense, according to analysts.
"I think Alibaba is scaling to be a worldwide player," Martin Garner, senior vice president at CCS Insight, told CNBC by phone.
"When we look at Amazon's cloud growth it is mostly in the U.S. The share of the business outside the U.S. is much smaller so it's understandable Alibaba would go there first."