SoftBank CEO Masayoshi Son is keen on not missing out on the artificial intelligence boom again, which could benefit chip design company Arm Holdings, a company SoftBank acquired for $32 billion in 2016. Son attempted to add Nvidia to his portfolio, but the deal fell through, leading Softbank to sell its stake in 2019. Son now aims to build an AI giant and achieve “artificial superintelligence,” with Arm likely at the center of this effort.
SoftBank owns about 90% of Arm, whose market value was $168 billion as of last year. Arm designs are used in mobile phones and are expanding into processors for personal computers. The company’s exposure to AI devices has driven its share price up, with Son hoping to expand into robotics, data centers, and autonomous driving.
SoftBank is establishing an AI division and plans to have a prototype by next spring. Son is determined to own as much of Arm as possible for as long as possible to avoid missing out on potential profits, reducing selling pressure on Arm shares.
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https://www.barrons.com/amp/articles/softbank-ai-nvidia-arm-holdings-stock-fa6abb14