SoftBank is in talks to invest around $25 billion in OpenAI, which will make it one of the largest backers of AI companies. According to a person familiar with the discussion, the deal has not been finalized yet but the Japanese company is in talks to invest between $15 billion to $25 billion. This amount will be on top of the $15 billion SoftBank recently invested with OpenAI to build more data centers through their Stargate partnership. SoftBank investment in OpenAI is in talks yet but if it gets finalized, OpenAI will surely benefit from the AI boom.
The plans are still in the early stages and may not lead to an investment, according to the source. Representatives from SoftBank and OpenAI declined to comment. Son stood with OpenAI CEO Sam Altman when President Trump announced the Stargate venture this month, and the two have been in touch for years over their shared interest in AI development.
SoftBank’s Potential OpenAI Investment
After years of mixed bets on AI startups through the Vision Fund, SoftBank is looking for the right moment to enter the booming AI hardware market. Son and OpenAI’s Altman first met in 2019 when Son offered $1 billion, but it didn’t happen. Since then, they’ve connected over concerns about the semiconductor shortage impacting AI, with the Vision Fund investing $500 million and launching a $1.5 billion tender to buy more stock from OpenAI employees last month.
OpenAI needs more data center capacity to boost its AI’s power, but it’s now up against fierce competition, especially with Chinese startup DeepSeek reportedly matching its capabilities at a much lower cost. So far, OpenAI has depended on Microsoft for most of its cloud and computing needs.
OpenAI’s Top Investor
OpenAI, which has relied on Microsoft as its main investor, is shifting toward a for-profit model. Originally founded as a nonprofit in 2015, it’s creating a public benefit corporation to run its commercial operations, lifting some nonprofit limits to act more like a fast-growing startup. This move aims to secure more capital and computing power to stay competitive in the generative AI race, a market analysts predict could reach $1 trillion in the next decade.
The Stargate Venture: New Frontier in AI
Tech industry figures, including Elon Musk, have raised concerns about the lack of details surrounding Stargate and its funding. Musk questioned whether the companies involved in Trump’s announcement could fulfill their financial promises. As of September, SoftBank had about $25 billion in cash and investments in hundreds of startups, plus a 90% stake in chip designer Arm Holdings, which it could use to finance the venture.
