SoftBank profit has surged dramatically in the second quarter of 2025, more than doubling to 2.5 trillion yen ($16.6 billion). The impressive growth is largely driven by valuation gains from its investment in OpenAI, the company behind ChatGPT. The Japanese technology conglomerate, led by Masayoshi Son, has made aggressive bets on artificial intelligence, and this quarter’s results show that the strategy is paying off.
OpenAI Investment Drives Record Earnings
SoftBank’s “all-in” approach on OpenAI has been a major factor behind its record-breaking profit. With OpenAI’s valuation soaring this year, SoftBank’s holdings contributed substantially to the quarterly net profit. The Vision Fund unit recorded investment gains of 3.5 trillion yen, with 2.16 trillion yen coming directly from OpenAI.
This surge in SoftBank profit provides the company with significant capital to expand its AI investment strategy, even as some investors raise concerns about a possible AI bubble where valuations might exceed actual profits.
Strategic Fundraising and Asset Management
To fund its AI ambitions, SoftBank has also engaged in major fundraising and asset management activities. It sold its remaining Nvidia shares for $5.83 billion and divested part of its T-Mobile stake for $9.17 billion. In addition, the company issued bonds in multiple currencies totaling 620 billion yen, $2.2 billion, and 1.7 billion euros ($1.98 billion), and arranged bridging loans of $15 billion to support OpenAI investments and its acquisition of semiconductor design company Ampere.
CFO Yoshimitsu Goto noted that the company leveraged existing assets to finance new AI investments. Analysts suggest that the sale of Nvidia shares does not indicate a lack of confidence in AI, but rather a strategic move to free up capital for OpenAI, SoftBank’s largest investment focus.
Market Context and Investor Sentiment
SoftBank’s stock price has soared along with broader technology-related equities, leading to a four-to-one stock split to make shares more accessible. Some investors, however, caution about an “AI bubble,” warning that the enormous capital invested may not generate profits at the expected scale.
Wong Kok Hoi, CEO of APS Asset Management, stated, “Son is a savvy investor, so selling the entire Nvidia stake must mean that he is no longer optimistic about the share price. Big tech companies may continue to invest heavily in GPU chips but not at this year’s level for many years.”
Despite these concerns, SoftBank maintains that the risk of not investing in AI outweighs potential market volatility. Goto emphasized, “The risk of not investing is far greater than the risk of investing.”
OpenAI Valuation and Investment Scale
SoftBank has been at the forefront of funding OpenAI, participating in several high-profile investment rounds. In March, the company led a $40 billion funding round with OpenAI valued at $300 billion. By October, it joined a consortium acquiring $6.6 billion in OpenAI shares from employees at a $500 billion valuation. By the end of 2025, SoftBank’s total investment in OpenAI is expected to reach $34.7 billion.
These strategic moves have not only increased SoftBank profit but have positioned the company as a central player in the AI revolution. Still, OpenAI has posted operational losses even as its valuation rises, highlighting the speculative nature of some AI investments.
Masayoshi Son’s High-Stakes Strategy
Masayoshi Son is renowned for high-risk, high-reward investment strategies. While early bets on Alibaba brought enormous returns, other ventures, like WeWork, have struggled. The OpenAI investment stands out as one of his most ambitious moves, reinforcing SoftBank’s position in transformative technologies.
The rise in SoftBank profit confirms Son’s long-term vision: to leverage emerging AI technologies for global growth. Analysts believe the profits will allow SoftBank to further expand its AI portfolio, pursuing acquisitions and strategic partnerships to maintain its leadership in the AI market.
The Road Ahead for SoftBank and AI
SoftBank’s record earnings underscore the growing significance of artificial intelligence in global finance and technology markets. As OpenAI and similar companies expand, SoftBank continues to benefit from the AI boom. However, investors remain cautious, noting that rapid growth in AI infrastructure may not immediately translate into sustainable profits.
In conclusion, SoftBank profit has more than doubled to $16.6 billion in Q2 2025, driven primarily by strategic investments in OpenAI. With this surge, SoftBank is well-positioned to continue leading AI innovation while carefully managing the risks associated with high-stakes, transformative technology investments.
This report is based on information originally published by Reuters, with additional analysis and context provided by FFR Business.
