"This is the first time that a machine has outperformed humans on such a test," Alibaba said in a statement Monday.
The test was devised by artificial intelligence experts at Stanford to measure computers' growing reading abilities. Alibaba's software was the first to beat the human score.
Luo Si, the chief scientist of natural language processing at the Chinese company's AI research group, called the milestone "a great honor," but also acknowledged that it is likely lead to a significant number of workers losing their jobs to machines.
The technology "can be gradually applied to numerous applications such as customer service, museum tutorials and online responses to medical inquiries from patients, decreasing the need for human input in an unprecedented way," Si said in a statement.