SoftBank’s AI Ambitions Garner Major Government Backing

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SoftBank Group is emerging as a leading contender within a landmark $550 billion U.S.-Japan investment initiative. The conglomerate's large-scale data center project has been shortlisted by both governments, highlighting its growing strategic importance in bilateral economic policy.

The company's deepening ties with artificial intelligence leaders are already yielding substantial financial results. For the first half of the fiscal year 2025, SoftBank reported a record net profit of 2.9 trillion yen, a surge of approximately 191% compared to the same period the prior year. A significant 2.2 trillion yen of this profit stemmed from valuation gains on its stake in OpenAI. The group's net asset value stood at 33.3 trillion yen.

This performance has been reflected in its share price. On November 10, 2025, shares reached approximately 22,255 yen, multiples above their low of 5,835 yen in April 2025. To improve accessibility for retail investors, SoftBank executed a 4-for-1 stock split effective January 1, 2026. In the U.S., the American Depositary Receipts (ticker: SFTBY) also reacted to the corporate repositioning, closing at $13.87 on January 8, 2026, which represented a post-split adjusted decline of 5.45%.

Strategic AI Infrastructure Expansion

The government shortlisting coincides with a period of aggressive infrastructure investment by SoftBank. A key development was the January 9, 2026 announcement of a joint $1 billion investment by OpenAI and SoftBank into SB Energy, with each partner contributing $500 million. These funds are intended to support the "Stargate" project—a multi-year, $500 billion endeavor to construct AI data centers that was initially unveiled at the White House in January 2025.

Recent major transactions underscore this strategic pivot:

• Acquisition of DigitalBridge: In late December 2025, SoftBank announced the $4.08 billion purchase of infrastructure specialist DigitalBridge Group, a company focused on data centers, mobile towers, and fiber networks. The deal is expected to close in the second half of 2026.
• SB Energy's Texas Project: OpenAI has commissioned SB Energy to construct and operate a 1.2-gigawatt data center site in Milam County, Texas.
• Major OpenAI Commitment: SoftBank has pledged a total of $30 billion to OpenAI, with $22.5 billion already disbursed by the end of December 2025.

The Bilateral Investment Framework

Japan and the United States are advancing the selection of initial projects under their agreed investment framework, which forms part of a deal where Washington pledged lower tariffs on Japanese exports. According to four individuals familiar with the matter, SoftBank's data center infrastructure proposal is among the front-running candidates.

Key details of the selection process include:

• Four meetings of the consultation committee have been held since December 2025.
• The U.S. side involves the Departments of Commerce and Energy, while Japan's participation includes the Ministries of Foreign Affairs, Finance, and Economy, Trade and Industry.
• The state-owned Japan Bank for International Cooperation (JBIC) and export credit insurer NEXI are involved.
• Major Japanese banks are already in discussions regarding potential participation in project financing alongside JBIC.

The governments aim to formally designate the first project ahead of Prime Minister Sanae Takaichi's planned visit to the U.S. in early 2026. The U.S. Secretary of Commerce chairs the investment committee, with recommendations subsequently passed to President Donald Trump for final selection.

Forward-Looking Events

Japanese government representatives have indicated that the bilateral investment program will continue to be advanced independently of an upcoming U.S. Supreme Court ruling concerning President Trump's global tariff policies. For SoftBank, the next significant milestone is the release of its third-quarter earnings for fiscal year 2025 on February 12, 2026. This report is expected to provide clearer insight into how the extensive AI infrastructure investments and its investment portfolio are impacting current financial results.