SoftBank bets big on OpenAI, moves away from NVIDIA
SoftBank just sold its $5.8 billion stake in NVIDIA to fund commitments to OpenAI—the creators of ChatGPT.
This marks a major pivot for SoftBank, showing how serious they are about AI's future.
But with all the hype around artificial intelligence, some are starting to wonder if this rush into AI is getting a bit overheated.
What's behind the move?
SoftBank faced criticism for selling NVIDIA shares too early during the first wave of the AI boom, but this time they cashed out as NVIDIA hit a massive $5 trillion valuation.
Now, they're eyeing OpenAI, which is reportedly considering a $1 trillion public listing to fund AI infrastructure deals.
Meanwhile, not everyone's convinced—Tesla investors are hesitant about sky-high startup valuations, and there's been more short-selling against AI giants like NVIDIA lately.
Still, investor interest in AI remains strong despite growing talk of an "AI bubble."