SoftBank Group Corp. announced a $2 billion investment in Intel, agreeing to purchase Intel common stock at $23 per share. This move makes SoftBank the fifth-largest shareholder in Intel, representing about 2% of the company, and is seen as a significant vote of confidence in the embattled chipmaker. The announcement on Monday followed Intel's shares closing at $23.66, with an immediate rise of over 5% in after-hours trading to $25.
This strategic investment aligns with SoftBank's broader push into AI and advanced semiconductor manufacturing, particularly in the United States. SoftBank CEO Masayoshi Son highlighted his belief in the expansion of advanced semiconductor manufacturing in the US, with Intel playing a critical role. The Japanese conglomerate has been increasingly active in the global chip and AI markets, having previously acquired chip designer Arm in 2016 for $32 billion and Ampere Computing for $6.5 billion in March.
The investment provides a much-needed validation for Intel, which has struggled to capitalize on the artificial intelligence boom and faced a 60% loss in stock value the previous year, its worst performance in over half a century. Despite this, Intel's stock was up 18% in 2025 as of Monday's close. SoftBank's move is part of its growing investment portfolio which includes AI linchpins like Nvidia Corp and a $40 billion investment into OpenAI.