SoftBank becomes Japan's most valuable company, surpassing Toyota
What's the story
SoftBank Group has dethroned Toyota to become Japan's most valuable company. The change comes after a massive surge in SoftBank's shares, which have jumped by 80% this year. The rise is mainly attributed to the company's aggressive AI strategy and the possible public offerings of its two portfolio companies, OpenAI and SB Energy.
Market dominance
SoftBank's market capitalization has surpassed ¥46 trillion
SoftBank's market capitalization has now surpassed ¥46 trillion ($288 billion), leaving Toyota behind. The auto giant's valuation has dropped by 10% this year, bringing it to below ¥46 trillion. Japan's Nikkei share average hit a record high of over 67,000 for the first time. The surge was driven by AI-related stocks, with SoftBank being the biggest contributor to the index's rise.
Strategic move
SoftBank plans €75 billion investment in French AI data centers
SoftBank's stock surged by 10% on Monday after announcing plans to invest €75 billion ($87 billion) over five years. The investment will be used to build AI data center capacity in France, marking the company's largest AI investment in Europe yet. "AI is entering a new era, and the countries that build the infrastructure for this transformation will shape the future of technology, industry and society," said SoftBank CEO Masayoshi Son.