SoftBank has sold its $5.8 billion stake in Nvidia as it raises capital for an aggressive $30 billion investment in OpenAI. The decision comes amid soaring valuations in the AI sector and growing debate about sustainability.
The Japanese investor posted quarterly profits of 2.5 trillion yen, more than doubling its earnings from the previous year. The gains were largely tied to its AI-related holdings.
CFO Yoshimitsu Goto explained that SoftBank needed to “mobilize existing resources” to fund its expanding AI portfolio. He added that the sale was unrelated to any loss of confidence in Nvidia’s long-term prospects.
Nvidia shares fell 3.5% after the news, with other tech companies, including Arm and Micron, also losing ground. The Nasdaq Composite dropped 0.85% in morning trading.
Analysts say the divestment reflects SoftBank’s calculated move to shift capital toward AI development platforms that could dominate future enterprise and consumer applications.
