SoftBank to inject $960m into Japan’s AI development race

SoftBank, a Japanese telecom giant, is investing $960 million (150 billion yen) by 2025 to enhance its computing capabilities and become a leader in generative artificial intelligence (AI), as reported by The NIKKEI Asia on Monday.

This investment will enhance SoftBank’s computing power significantly, potentially placing it at the forefront of Japan’s AI development race.

The company plans to utilise the upgraded infrastructure to create a Japanese-language-specific generative AI model with unparalleled performance.

SoftBank will rely on powerful graphics processing units (GPUs) from industry leader Nvidia to fuel its AI ambitions.

These GPUs will not only support their internal development efforts but will also be available for loan to other companies seeking to leverage cutting-edge AI technology.

Building on a prior investment of 20 billion yen in 2023 to establish its AI computing infrastructure, SoftBank plans to dedicate the additional funding this year and next.

This substantial investment is believed to be the largest of its kind by any Japanese company venturing into the AI landscape.

SoftBank’s commitment to domestic AI development has garnered positive attention from the stock market.

In late March, the company’s share price reached its highest point since its 2018 listing, reflecting investor optimism regarding the potential of generative AI to enhance the company’s future prospects.