SoftBank

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Overview

SoftBank Group Corp., a leading global technology and investment holding company, was founded by Masayoshi Son in September 1981. Originally a software distributor in Japan, it evolved into a diverse conglomerate engaged in telecommunications, e-commerce, and investing in cutting-edge technologies. Based in Tokyo, SoftBank has raised significant capital through its Vision Funds, totaling over $100 billion. The group's investment strategy focuses heavily on artificial intelligence (AI), internet services, and telecommunication, positioning itself at the forefront of technological innovation.

Recent Developments

  • March 2025: SoftBank announced its collaboration with OpenAI to develop AI-driven enterprise solutions. This $3 billion annual collaboration aims to integrate advanced AI models within SoftBank’s ecosystem.
  • January 2025: The company introduced Stargate, an infrastructure project in the U.S designed for AI development, in partnership with Oracle and OpenAI, with a projected cost of $500 billion.
  • March 2025: SoftBank signed a MoU with Ericsson to further enhance its AI-RAN (Radio Access Network) capabilities, demonstrating prototypes at Mobile World Congress 2025.
  • February 2025: SoftBank became a focus of media attention due to its strategic shift towards increasing AI investments, including a significant stake in Arm Holdings to develop AI chips by the end of the year.
  • March 2025: The company announced its AI-driven telecommunications model, LTM, aimed at optimizing cellular network operations.
  • April 2024: The launch of SoftBank's Vision Fund 3 was announced, with a focus on sustainable tech investments, enlarging their commitment to ecological technology.

Company Information

AttributeInformation
Founding DateSeptember 3, 1981
HeadquartersTokyo, Japan
FoundersMasayoshi Son
Revenue$46.7 billion (2024)
Profits-$1.7 billion (2024)
Key InvestorsSaudi Arabia PIF, Mubadala, Apple
IndustryTelecommunications, Technology
Number of Employees55,400

Early History

SoftBank was founded by Masayoshi Son, a Japanese entrepreneur with Korean ancestry, who initially entered the personal computer software market in Japan. Inspired by the growth potential of microprocessors observed during his studies at UC Berkeley, Son launched Nihon SoftBank in 1981. The company served as a software distributor and eventually ventured into publishing with PC magazines. By incorporating innovative services like Yahoo! BB, a broadband service launched in 2001, SoftBank laid the groundwork for its future in telecommunications and internet services.

Company Profile and Achievements

SoftBank operates primarily through its Vision Funds, focusing on aggressive investments in AI, telecommunications, e-commerce, and other disruptive technologies. The Vision Fund's creation marked a significant expansion in SoftBank's influence across tech startups worldwide. Notable investments include stakes in Alibaba, which yielded one of the greatest returns in investment history, and Uber. SoftBank has been instrumental in advancing AI through partnerships with established tech leaders and by investing in new ventures like the AI-RAN Alliance to utilize AI in telecommunications.

  • 2000: Initial $20 million investment in Alibaba, later valued at $150 billion.
  • 2012: Acquisition of Sprint, later merged with T-Mobile USA, expanding its footprint in North America.
  • 2017: Launch of the first Vision Fund, raising nearly $100 billion.
  • 2024: Introduction of the Stargate Project, emphasizing infrastructure development for AI in the US.

Current Operations and Market Position

Currently, SoftBank holds a prominent position in the telecommunications sector, competing as a leader in AI development and deployment. Its investment strategy spans technology giants like Arm Holdings and innovative AI solutions through partnerships with companies such as NVIDIA and OpenAI. Despite financial setbacks, including significant losses in Vision Fund 2, SoftBank continues to influence technology trends, maintaining a robust interest in AI and smart data solutions.

Conclusion

SoftBank continues to be a pivotal player in global technology investment, leveraging its capital and strategic vision to drive advancements in AI, telecommunications, and Internet services. Its future stands on the strategic expansion into AI through collaborations with top tech innovators and infrastructure development projects like Stargate. Despite facing financial challenges, SoftBank's commitment to innovation and its strategic investments position it as a crucial leader shaping the technological landscape.

References

  1. PR Newswire - Softbank at MWC Barcelona 2025
  2. The Hindu Business - Softbank's AI Investment Plans
  3. Wikipedia - Masayoshi Son and Softbank Group