A woman walks in front of SoftBank store in Ginza shopping district in Tokyo, Jan. 20, 2020. (AP Photo)
SoftBank Group Corp. has sold its entire stake in U.S. chipmaker Nvidia, securing $5.83 billion from the deal. The Tokyo-based tech giant confirmed the sale took place in October, marking another major reshuffle in its investment portfolio.
The announcement came as SoftBank reported a sharp rise in profits for the first half of the fiscal year. Between April and September, the company’s net income nearly tripled from a year earlier, buoyed by strong investment returns. Revenue for the same period climbed 7.7% to 3.7 trillion yen (around $24 billion).
AI Investments Drive Strong Earnings
SoftBank’s performance continues to be closely tied to its high-stakes investments. While the group’s results often fluctuate due to market swings, this time its investments in artificial intelligence companies proved to be a key growth driver.
A company official revealed that returns from OpenAI contributed significantly to the profit surge. Founder and CEO Masayoshi Son has recently intensified the company’s focus on AI, calling it the “core of SoftBank’s future.”
The decision to sell Nvidia shares comes as the chipmaker remains one of the biggest beneficiaries of the AI boom. However, SoftBank is redirecting its attention to other AI-related ventures, including its British chip design firm Arm Holdings and Taiwan Semiconductor Manufacturing Co. (TSMC), both of which play central roles in the global chip supply chain.
Betting Big on the Future of AI
Son’s renewed focus on artificial intelligence has been evident in SoftBank’s recent investment strategies. The billionaire entrepreneur has described AI as “the next industrial revolution,” signaling plans to build a vast ecosystem around it.
SoftBank’s Vision Funds, known for backing some of the world’s fastest-growing tech startups, have also been restructured to align with this AI-centric vision. The fund has seen both massive gains and heavy losses in the past, reflecting Son’s willingness to take bold risks in pursuit of long-term innovation.
Market Reaction and Investor Confidence
SoftBank’s stock has shown remarkable recovery over the past year, nearly doubling in value amid growing optimism around AI. Shares gained almost 2% on Tuesday following the profit announcement and Nvidia sale disclosure.
Analysts say the sale allows SoftBank to lock in significant gains from its Nvidia investment while freeing capital for new opportunities in emerging AI sectors. The move also highlights Son’s strategic agility — shifting from past bets in consumer tech toward foundational AI and semiconductor technologies.
A Profitable Shift in Strategy
The Nvidia exit marks another pivotal moment for SoftBank, which has weathered years of volatile returns from its tech-heavy portfolio. By refocusing on AI-driven innovation, the group appears determined to strengthen its position in the next phase of global technological transformation.
With solid profits, strong AI exposure, and renewed investor confidence, SoftBank seems poised for another ambitious chapter — one that firmly ties its future to the rise of artificial intelligence.
