19

SoftBank is in discussions to invest up to $25 billion in OpenAI, the company behind ChatGPT. If finalized, this deal would make the Japanese tech giant OpenAI’s largest financial backer. Reports indicate that the potential investment could range between $15 billion and $25 billion, highlighting SoftBank’s growing interest in artificial intelligence.

Strengthening OpenAI’s Growth and AI Infrastructure

SoftBank has already invested in OpenAI and recently joined a funding round that valued the company at $157 billion. Microsoft, OpenAI’s largest shareholder, also participated in that round. SoftBank’s previous investments include ByteDance (TikTok’s parent) and Arm (the British chip designer), showing its deep involvement in cutting-edge technology.

To expand AI infrastructure, OpenAI, SoftBank, and Oracle have partnered to create Stargate, an ambitious project to develop AI-focused data centers. Former U.S. President Donald Trump called it “the largest AI infrastructure project in history”, with an initial budget of $100 billion. Reports suggest that SoftBank’s investment in OpenAI would also help fund its commitment to Stargate.

However, some skepticism remains. Elon Musk, a key figure in the AI industry, has questioned whether Stargate’s backers actually have the necessary funds. OpenAI’s CEO, Sam Altman, dismissed these concerns, emphasizing that the project will boost U.S. technological strength. He also urged Musk to prioritize national interests over business competition.

Rising Competition and Market Disruptions

OpenAI is facing increasing competition, especially from China. The newly launched Chinese AI startup DeepSeek recently released a chatbot that quickly topped the Apple free app store rankings. This success led to a sharp decline in AI-related stock prices.

Altman initially welcomed the challenge, describing DeepSeek as “legitimately invigorating”. However, OpenAI later claimed it had evidence that some Chinese companies were using its technology to develop rival products. These concerns have raised new debates about intellectual property and AI development ethics.

SoftBank’s CEO, Masayoshi Son, has already presented the investment proposal to OpenAI’s leadership. While the deal is not yet finalized, it could become one of the largest AI investments in history. If approved, this funding would further solidify OpenAI’s position as a dominant force in artificial intelligence.