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SoftBank Group (SFTBY) is negotiating a potential investment of up to $25 billion in OpenAI, a move that could make it the AI firm's largest financial backer, according to a Financial Times report citing sources familiar with the discussions.
The investment amount remains uncertain, with figures ranging between $15 billion and $25 billion, according to a person close to the matter. While no deal has been finalized, SoftBank could ultimately spend over $40 billion on its broader partnership with OpenAI.
The talks come as SoftBank, OpenAI, and Oracle (NYSE:ORCL) push forward with Stargate, a joint initiative targeting up to $500 billion in AI infrastructure investment across the U.S. to strengthen the country's competitive edge. SoftBank is also planning a separate $15 billion investment in Project Stargate, an effort championed by former President Donald Trump for job creation, industrial growth, and national security.
A portion of SoftBank's potential equity investment in OpenAI could support this initiative, the report added. CEOMasayoshi Son has aggressively pursued AI investments, including a $1.5 billion stake in Microsoft (NASDAQ:MSFT)-backed OpenAI last year. In November 2024, OpenAI allowed employees to sell about $1.5 billion in shares through a tender offer to SoftBank.
This article first appeared on GuruFocus.