Masayoshi Son is actively remaking SoftBank with a significant pivot towards artificial intelligence and robotics. This aggressive strategy involves substantial investments in AI-related ventures, including a proposed $1 trillion AI and robotics complex in Arizona, which Son has discussed with the US commerce secretary and aims to involve chipmaker TSMC. This reorientation comes at a time when SoftBank is facing investor scrutiny due to its high-stakes AI investments, yet Son appears committed to realizing his vision of 'artificial superintelligence'.
To fund these ambitious AI investments, SoftBank has been divesting significant assets. For example, the company sold its stake in Nvidia for $5.8 billion and is reportedly planning to sell $2 billion in Intel shares to bolster its American investments. These sales are crucial for providing the capital needed for new acquisitions and strategic partnerships in the AI sector. SoftBank's recent activities include a $4 billion AI data center deal with DigitalBridge and plans to acquire ABB's robotics unit for $5.4 billion.
SoftBank has also made massive investments in OpenAI, with its holdings in the ChatGPT maker leading to significant financial gains. The conglomerate reported its net profit doubled to $16 billion due to gains from OpenAI and PayPay holdings, and saw a $4.2 billion gain from its OpenAI investment alone, despite suffering a $2.4 billion loss recently. SoftBank has invested over $34 billion in OpenAI and is reportedly close to an additional $30 billion investment. Son and OpenAI's Sam Altman are also collaborating on the Stargate AI project, which would exclusively serve OpenAI and is tied to potential sites in Texas.
Son is also looking to expand SoftBank's AI and robotics footprint by planning to list a new AI and robotics company named Roze in the US as early as this year. The company is actively expanding its AI portfolio, as seen with the $6.5 billion Ampere deal for a US chip start-up specializing in data center servers for AI applications. Despite recent share falls and a negative outlook from S&P, SoftBank is pushing forward with its AI-centric transformation.
Masayoshi Son has also hinted at succession plans, suggesting that his successor is already working within the tech conglomerate. Concurrently, he has floated the idea of a US-Japan sovereign wealth fund to make large-scale US tech and infrastructure investments. This broad range of strategic moves indicates Son's deep personal involvement and commitment to reshaping SoftBank into a dominant player in the global AI landscape, even as he faces investor nerves and significant financial risks.
