Home / Business and Economy / SoftBank's Son: Cash Needs Drove Nvidia Sale
SoftBank's Son: Cash Needs Drove Nvidia Sale
2 Dec
Summary
- Masayoshi Son sold $15 billion in stock, including all Nvidia shares.
- Son cited a need for cash to invest in OpenAI and data centers.
- He described AI as the most important technological shift ever.
SoftBank founder Masayoshi Son has clarified his decision to divest approximately $15 billion in stock, a move that included selling all his Nvidia holdings. Son stated that the sale was not a judgment on Nvidia's market position or the burgeoning AI sector, but a necessary measure to secure capital for future investments. He expressed a personal reluctance, noting he "cried to sell Nvidia shares," driven by the need to fund OpenAI and expand data center initiatives.
Son detailed that without "unlimited money," such sales were required to support SoftBank's next wave of AI ambitions, including a substantial $500 billion data center network in the US and a major commitment to OpenAI. He views Artificial Intelligence as the paramount technological shift in human history, asserting that worries regarding an AI bubble indicate a lack of foresight among investors.
Despite Son's assurances, concerns persist among investors, amplified by a recent MIT report indicating many generative AI investments yield zero returns. This sentiment is echoed by figures like Michael Burry, who famously predicted the 2008 financial crisis and has recently made significant bets against AI giants like Nvidia and Palantir, adding to market anxieties about the sustainability of the AI rally.
