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SoftBank Exits Nvidia, Redirects $5.8 Billion to OpenAI and AI Buildout
SoftBank sold 32.1 million Nvidia shares for $5.8 billion in October to fund a $30 billion investment in OpenAI and U.S. AI infrastructure projects, CFO said.
- Selling roughly 32 million Nvidia shares last month, SoftBank Group Corp. raised about $5.8 billion to fund investments in OpenAI and large AI infrastructure projects.
- To fund its OpenAI commitments, SoftBank Group Corp. moved to sell Nvidia shares to `take advantage of its gains` and redirect cash toward its $22.5 billion OpenAI commitment, CFO Yoshimitsu Goto said.
- Nvidia Corp.'s valuation crossed a record $5 trillion this year as its graphics chips power nearly every large AI model training run, soaring more than 1,085% over three years.
- Analysts cautioned that the exit stokes valuation concerns, as Nvidia shares briefly tumbled nearly 4%, though Jay Woods said, `I don't think it is a direct shot at Nvidia.`
- Masayoshi Son has positioned SoftBank as a central AI player by joining the Stargate Project, a $500 billion AI infrastructure initiative, but rollout delays highlight execution risks.
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141 Articles
SoftBank Dumps $5.8B Nvidia Stake to Subsidize Other AI Bets
SoftBank, one of the world’s most prominent technology investors, has placed astronomical bets on the future of artificial intelligence. On Tuesday, it said Nvidia is no longer one of them. Japanese billionaire Masayoshi Son’s firm sold its entire stake in the chipmaker at the heart of the AI boom, totalling 32.1 million shares, for $5.8 billion last month. The news reignited concerns among some investors about an AI bubble, but SoftBank said it…
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Total News Sources141
Leaning Left18Leaning Right13Center24Last UpdatedBias Distribution43% Center
Bias Distribution
- 43% of the sources are Center
43% Center
L 33%
C 43%
R 24%
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