September 18, 2023
1 min read

SoftBank Eyes OpenAI After Arm IPO

SoftBank, which acquired Arm for $31 billion in 2016, controls about 90 per cent of shares outstanding….reports Asian Lite News

Japanese major SoftBank is mulling to make an investment in Sam Altman-run OpenAI after the blockbuster listing of British chip designer Arm owned by Softbank, the media reported on Saturday.

Masayoshi Son, SoftBank’s founder and CEO, is potentially “looking to invest tens of billions in AI after completing Arm’s initial public offering,” reports The Financial Times.

“SoftBank could also look to strike a broad strategic partnership with the ChatGPT maker,” the report noted.

UK chip designing giant Arm’s stock surged about 25 per cent during its first day of trading on Nasdaq after selling shares at $51 a piece in its US initial public offering (IPO).

SoftBank, which acquired Arm for $31 billion in 2016, controls about 90 per cent of shares outstanding.

Arm’s IPO is reportedly set to expand SoftBank’s war chest to as much as $65 billion.

According to the report, SoftBank is also looking at making substantial investments in direct rivals of the ChatGPT maker.

SoftBank said in a statement that “We do not comment on rumours.” OpenAI declined to comment on the report.

Microsoft earlier invested $10 billion in OpenAI in a multi-year deal.

Arm priced its shares at the upper end of its expected range on Wednesday.

Arm has developed and licensed high-performance, low-cost, and energy-efficient central processing unit (CPU) products and related technology.

Arm was supposed to be acquired by graphics chip giant Nvidia for $40 billion in 2020, but the deal was called off in February 2022, owing to “significant regulatory challenges preventing the consummation of the transaction”.

ALSO READ: Bengaluru Shines As Prime NRI Investment Hub

Previous Story

Ajay Banga: From India to World Bank’s Helm

Next Story

Danube’s Oceanz Sold out

Latest from Business

Airbnb Boosts India Economy

Among international guests, the largest inbound sources were the United States, United Kingdom, Canada, and Australia Hospitality giant Airbnb made a significant impact on India’s economy in 2024, contributing Rs 113 billion

Deadline Nears, India–EU Talks Heat Up

The success or failure of this round will shape how the two sides proceed, especially on difficult issues that have long blocked progress….reports Asian Lite News India and the European Union on

Gold Shines Bright Amid Global Jitters

Gold and silver continued their bullish run on Monday, scaling new highs amid mounting global uncertainties, heightened geopolitical tensions, and growing expectations of a US Federal Reserve rate cut. According to the

ADNOC signs 15-year LNG deal with Indian Oil

Under the deal, LNG cargoes can be delivered to any port across India, enhancing the country’s energy security and meeting its rising energy demand. Abu Dhabi National Oil Company (ADNOC) has signed

Canada to lift counter-tariffs on US goods

Canadian Prime Minister Mark Carney has announced that Ottawa will remove its counter-tariffs on US goods covered under the Canada-US-Mexico Agreement (CUSMA), beginning 1 September. The move marks a partial easing of
Go toTop

Don't Miss

SoftBank founder Masayoshi Son joins AI chip race

SoftBank may infuse $30 billion and can raise $70 billion

SoftBank offloads its VC arm

The acquisition comes after SoftBank and its Vision Fund registered