Japanese corporation SoftBank Group is considering a significant investment in OpenAI, which could make it the organization’s largest financial sponsor.
SoftBank considers significant investment
According to Bloomberg, SoftBank plans to invest between $15 billion and $25 billion in OpenAI. While discussions are in initial stages, OpenAI requires additional data centers to enhance its AI capabilities amid growing competition.
Market and competitive landscape
Chinese firm DeepSeek and other emerging competitors captured market share by providing equivalent AI capabilities with reduced expenses. Currently, OpenAI relies heavily on Microsoft for its cloud computing infrastructure. Led by Masayoshi Son, SoftBank seeks a strategic entry into the AI hardware business.
Impact of news on stocks
SoftBank shares decreased by 1% in Tokyo's market on Thursday, although the potential investment news boosted Asian chip stocks, including Advantest Corp. However, according to Takehiko Masuzawa, head of equity trading at Phillip Securities Japan, 'SoftBank is not likely to see the same buying momentum.'
The potential investment by SoftBank in OpenAI could significantly shift the company's market standing and influence the global AI market.