Alibaba has cut a quantum computing laboratory and team from its research arm.
In doing so, the Chinese tech company has donated both the lab and the related experimental equipment to Zhejiang University, it confirmed earlier this week.
The closure of the lab is set to result in the loss of 30 staff.
Alibaba's in-house research initiative DAMO Academy has said it will focus instead on researching artificial intelligence.
Reuters reports that Zhejiang University will attempt to recruit the affected employees to work on its own quantum research.
DAMO launched in 2017 with the goal of researching AI and machine learning.
In September, Alibaba CEO Daniel Zhang stood down from the wider company as planned, but shocked the company when he quit his role heading up the company’s cloud unit.
Earlier this year, the firm said it would spin out and list its cloud unit separately from the main parent company, but this month canceled those plans.