TLDR
- SoftBank divested its complete Nvidia holdings of 32.1 million shares in October 2025, generating $5.83 billion in proceeds
- The capital will support a $22.5 billion OpenAI commitment and $6.5 billion Ampere investment as part of SoftBank’s AI strategy
- SoftBank previously exited Nvidia in January 2019 after building a $4 billion position in 2017
- The Vision Fund reported a $19 billion quarterly gain driven by OpenAI’s $500 billion valuation milestone
- SoftBank continues involvement with Nvidia through the $500 billion Stargate data center initiative
SoftBank Group liquidated its entire Nvidia position last month. The Tokyo-based investor sold 32.1 million shares for $5.83 billion in October.
The funds will support SoftBank’s expanding AI portfolio. OpenAI requires $22.5 billion from SoftBank. Chip company Ampere needs another $6.5 billion.
SoftBank CFO Yoshimitsu Goto described the transaction as strategic asset monetization. The firm wants financial flexibility for new ventures. SoftBank simultaneously sold T-Mobile shares generating $9.17 billion.
Nvidia shares fell 0.95% in premarket activity after the disclosure. The market response stayed relatively calm given the transaction size.
History of SoftBank’s Nvidia Holdings
SoftBank has exited Nvidia positions before. The Vision Fund accumulated a $4 billion stake starting in 2017. That entire holding was sold in January 2019.
The repeat exit shows SoftBank’s tactical approach to tech investments. Nvidia has become essential infrastructure for AI development. Most machine learning applications depend on Nvidia processors.
New Street Research analyst Rolf Bulk said SoftBank faces exceptional capital requirements. The company needs over $30.5 billion for October through December investments. That exceeds the previous two years of combined spending.
The sale comes while AI demand accelerates globally. Nvidia supplies the chips powering generative AI tools and cloud services. The company has captured dominant market share in AI accelerators.
Strong Vision Fund Performance
The Nvidia exit contributed to impressive quarterly results. SoftBank doubled its fiscal second quarter profit. The Vision Fund alone gained $19 billion.
OpenAI investments drove the fund’s performance. SoftBank entered OpenAI in September 2024. The AI startup now carries a valuation approaching $500 billion.
Japanese payment platform PayPay added to the gains. The Vision Fund has concentrated resources on AI infrastructure and robotics. SoftBank is building a portfolio spanning chips to language models.
The recent sales leave SoftBank with approximately $35 billion in cash. That liquidity supports the company’s aggressive investment timeline.
Maintaining Nvidia Partnership
The stock sale does not end SoftBank’s Nvidia connections. SoftBank holds a stake in the Stargate project. The $500 billion program develops data centers nationwide.
These facilities will require Nvidia hardware for AI processing. SoftBank CEO Masayoshi Son and Nvidia CEO Jensen Huang maintain close ties. The executives have shared stages at technology conferences.
SoftBank shares experienced volatility recently. Market worries about AI valuations pressured the stock. The company countered with a four-for-one stock split announcement.
Goto emphasized shareholder access as a priority. The split makes shares more affordable for retail investors. Combined with asset sales, SoftBank is reshaping its balance sheet.
The firm now holds substantial dry powder for deals. Future investments will likely target AI infrastructure and next-generation computing. SoftBank’s strategy centers on capturing value as AI technology matures.
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