Masayoshi Son’s SoftBank Group Corporation is doubling down on its bet on artificial intelligence. The tech giant has reportedly re-committed to a $500 million investment in OpenAI, the company behind the popular chatbot ChatGPT. This investment forms part of a larger $6.5 billion funding round, which has skyrocketed OpenAI’s valuation to a staggering $150 billion, according to the Financial Times, citing sources familiar with the deal.
SoftBank’s investment will be made through its second Vision Fund, which is largely funded by Son’s personal fortune. The move places SoftBank alongside other notable investors like Thrive Capital and Microsoft, underscoring the immense confidence in OpenAI’s future. Despite recent high-profile departures and potential restructuring, investors remain bullish on OpenAI’s ability to lead the AI revolution. They are betting on the company’s potential to surpass tech giants like Google and Meta, as well as emerging startups like Anthropic and Mistral.
Son’s interest in OpenAI stems from his personal affinity for the company’s technology. He has publicly stated his admiration for OpenAI CEO Sam Altman, calling him one of the most influential figures in the world and highlighting their daily communication. SoftBank’s existing partnership with OpenAI in Japan involves helping local businesses develop advanced chatbots.
The investment news comes on the heels of other notable developments in OpenAI’s orbit. Apple design legend Sir Jony Ive has confirmed his collaboration with OpenAI on a new AI hardware project. Altman and Ive are reportedly seeking $1 billion from SoftBank for this new venture. However, in a last-minute turn of events, Apple withdrew from talks to invest in OpenAI’s latest funding round, just before it was expected to close. This unexpected move adds another layer of intrigue to OpenAI’s growing influence in the tech world.
The re-commitment from SoftBank underscores the immense potential that investors see in OpenAI. With its impressive valuation and ambitious plans for the future, OpenAI is well-positioned to become a dominant force in the rapidly evolving landscape of artificial intelligence.
