Japanese conglomerate SoftBank Group (SFTBY) is strategically cutting 20% of its global Vision Fund team to bolster its AI investments, particularly in its $500 billion Stargate data center project in collaboration with OpenAI. This decision follows a strong first-quarter net profit of $2.87 billion, attributed to gains from holdings in Nvidia (NVDA) and Coupang (CPNG). SoftBank is ramping up its focus on artificial intelligence, having recently invested $2 billion in Intel (INTC) and collaborated with TSMC. Despite delays in the Stargate project, updates are anticipated in November. Furthermore, SoftBank is launching a $1 trillion initiative, “Project Crystal Land,” to develop an AI and robotics hub in Arizona, aiming to enhance U.S. tech manufacturing. While SoftBank’s investment portfolio expands into chips and robotics, SFTBY’s stock holds a Neutral rating, with a price target suggesting a 10% upside. Explore more on SFTBY stock to elevate your investment strategy.
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