TOKYO — SoftBank Group Corp. founder and Chief Executive Officer Masayoshi Son is targeting up to $100 billion in new capital from sovereign wealth funds and institutional investors across the Gulf region to finance the Japanese conglomerate’s next phase of artificial intelligence investments.
The capital-raising initiative aims to establish a dedicated investment vehicle focused on acquiring established operating companies and integrating advanced AI technologies, robotics, and automation to streamline their balance sheets and boost operational productivity.
Targeting Gulf Sovereign Capital
Son has held preliminary fundraising discussions with key authorities and state-backed entities in the Middle East, particularly within the United Arab Emirates and Saudi Arabia.
Among potential prospective partners, Abu Dhabi–backed technology investment manager MGX has been identified as a key candidate to anchor the proposed fund structure. Bringing in external co-investors would allow SoftBank to expand its dealmaking capacity while managing leverage exposure on its own corporate balance sheet.
Expanding AI Footprint and Infrastructure Bets
The $100 billion target marks a significant expansion in SoftBank’s global AI playbook:
- Direct AI Bets: The move follows SoftBank’s recent $30 billion commitment to OpenAI as part of a major financing round for the ChatGPT creator.
- Corporate Debt Activity: To help fund its direct AI commitments, SoftBank issued $11.1 billion in high-yield corporate bonds last month.
- Energy and Infrastructure Support: SoftBank-backed clean energy developer SB Energy is progressing plans to support an 8.8-gigawatt data center facility in Ohio, addressing the substantial power demands required by large-scale computing systems.
Market Outlook and Strategic Execution
Industry analysts note that securing up to $100 billion from Gulf sovereign entities would provide SoftBank with substantial financial flexibility as global tech firms race to secure computational infrastructure, enterprise software tools, and energy supplies.
Neither SoftBank Group nor representatives from prospective Gulf sovereign funds have issued formal public commentary regarding the ongoing discussions. Market observers expect further clarity on the final structure and commit sizes as preliminary discussions progress over the coming months.
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