SoftBank Doubles Down on AI with Major Investments in Software and Infrastructure

SoftBank invests $1.2B in AI startup Wayve for autonomous vehicles and plans a $33B, 9.2GW US power plant to fuel future AI data centers, a dual-strategy for the AI era.

Japanese technology conglomerate SoftBank Group is making a substantial two-pronged strategic push into artificial intelligence, committing billions to both cutting-edge software development and the critical energy infrastructure required to power it. The moves highlight the company's long-term bet on the AI sector's growth, though they also involve significant capital outlay and extended timelines.

A Landmark Investment in Autonomous Driving AI

In a significant development for the autonomous vehicle sector, UK-based startup Wayve has successfully closed a $1.2 billion Series D funding round. This investment has propelled the company's valuation to $8.6 billion. SoftBank participated as a lead investor within a prominent consortium that also included technology giants Microsoft and Nvidia, alongside automaker Stellantis. Furthermore, Wayve has secured an additional $300 million in conditional funding from Uber, contingent upon the achievement of specific performance milestones.

The newly acquired capital is earmarked for accelerating commercial deployment. Initial tests of robotaxi services in partnership with Uber are scheduled to commence in London later this year. The company plans to integrate its AI driving software into consumer vehicles starting in 2027. Wayve's technology has already undergone extensive real-world testing across more than 500 cities globally.

Building Power for the AI Era

Concurrently, SoftBank is addressing a fundamental bottleneck for large-scale AI: energy supply. Through its subsidiary SB Energy, the group is developing a massive natural gas power plant situated on the border of Ohio and Kentucky. With a projected capacity of 9.2 gigawatts, the facility is set to become the largest of its kind in the United States, capable of theoretically supplying electricity to approximately 7.5 million homes.

This infrastructure project, closely linked to OpenAI's "Stargate" initiative, is designed to meet the colossal power demands anticipated from next-generation AI data centers. Development costs are estimated at around $33 billion, with construction expected to take up to a decade. Industry leaders Bechtel and GE Vernova have been tapped to lead the project's execution.

The financing for this endeavor relies heavily on Japanese capital. The move also aligns with U.S. government policy encouraging technology firms to develop their own power generation capabilities to prevent overburdening the public electrical grid. While Wayve's commercialization is targeted for 2027, the power plant represents a foundational, decade-long wager on the infrastructure needs of the future AI economy.

These parallel investments underscore SoftBank's comprehensive strategy to position itself at both the application and foundational levels of the artificial intelligence revolution.