SoftBank Group has completely divested its $5.8 billion stake in Nvidia, shifting its focus towards OpenAI, highlighting CEO Masayoshi Son’s commitment to AI technology. The sale, which involved 32.1 million Nvidia shares, coincided with SoftBank’s fiscal second-quarter earnings, revealing a net profit of 2.5 trillion yen ($16.6 billion), largely driven by valuation increases in OpenAI investments. This marks SoftBank’s second full exit from Nvidia, having previously sold shares in 2019. CFO Yoshimitsu Goto indicated the need for liquidity to sustain major commitments to OpenAI, with total investments potentially reaching $34.7 billion. SoftBank’s aggressive strategy also includes acquisitions like Ampere Computing and investments in AI infrastructure through the Stargate Project. However, concerns linger regarding the sustainability of AI valuations amidst SoftBank’s significant capital commitments. As a result, SoftBank’s stock has surged, reflecting its status as a proxy for OpenAI’s potential success.
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