SoftBank has sent shockwaves through the AI industry this morning after selling its entire stake in NVIDIA—the company widely recognized as the epicenter of the current AI boom. According to CNBC, the proceeds from this significant sale are earmarked for a massive investment in OpenAI, the maker of ChatGPT.
The news of SoftBank’s decision was announced during a company presentation. “We want to provide a lot of investment opportunities for investors, while we can still maintain financial strength,” commented CFO Yoshimitsu Goto.
Sources cited by CNBC revealed the numbers behind the move: SoftBank’s sale of NVIDIA shares generated approximately $5.83 billion. This windfall, combined with cash from the sale of SoftBank’s T-Mobile stake, will reportedly fund a monumental $22.5 billion investment into OpenAI.
Market reaction to this development was swift, with the value of both NVIDIA and SoftBank shares dropping amidst concerns about the abrupt repositioning.
Addressing speculation, a SoftBank spokesperson clarified that the NVIDIA sale was not driven by doubts about AI technology or its future. Instead, SoftBank sees this as a strategic shift aimed at strengthening its investment portfolio and capital position.
https://www.shacknews.com/article/146797/softbank-nvidia-stake-sale
