Nvidia’s shares dropped approximately 3% after SoftBank sold its entire stake to fund investments in OpenAI, raising $5.83 billion from 32.1 million shares. This divestment is part of SoftBank’s asset monetization strategy, which also includes a partial sale of T-Mobile shares for nearly $9.2 billion. SoftBank plans to invest an additional $22.5 billion in OpenAI, emphasizing the developer’s role in their future AI strategy. With a focus on advancing artificial superintelligence, SoftBank’s founder, Masayoshi Son, believes AI will generate significant wealth, deeming companies like Nvidia undervalued. Meanwhile, discussions on a potential AI bubble continue, contrasting current growth with the tech bubble’s past, as many AI leaders are now achieving robust revenue growth. As the third-quarter earnings season ends, 82% of S&P 500 companies reported better-than-expected earnings per share, indicating a strong market scenario despite correction fears.
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