Masayoshi Son’s transformation of SoftBank into a pure-play artificial intelligence powerhouse accelerated on multiple fronts this week — a €75 billion push into French data centers, a $840 million insurance acquisition via PayPay, and an increasingly bullish timeline for artificial superintelligence. Yet none of that shielded the stock from Friday’s brutal sell-off that erased those gains and more.
The Tokyo-listed shares tumbled 7.91% to €37.50, dragging the weekly performance to a loss of 8.18%. The rout came as a global semiconductor rout wiped more than $1 trillion in market value from the sector. The Philadelphia Semiconductor Index (SOX) crashed 10.3% — its worst single-day drop since 2020. SoftBank’s crown jewel, Arm Holdings, plunged nearly 13%, sending shockwaves through the parent company.
Despite the weekly carnage, the stock still clings to a monthly gain of just over 11%. The relative strength index at 51.8 points to neutral momentum, but the annualized volatility of over 111% underscores just how jittery the market remains around this high-beta name.
€75 Billion for French AI Infrastructure
Undeterred by the market noise, SoftBank unveiled one of its largest single-region commitments: up to €75 billion for data centers in France. The first phase, centered in the Hauts-de-France region, will absorb more than half that sum and target a capacity of 3.1 gigawatts by the end of the decade.
To execute the plan, SoftBank has enlisted Schneider Electric and French utility EDF as partners. CEO Masayoshi Son cited France’s reliable nuclear power supply as a decisive factor in choosing the location. The European offensive complements SoftBank’s existing ties with OpenAI and marks a clear strategic pivot toward owning physical AI infrastructure.
Insurance Dealt into the Digital Ecosystem
Back home in Japan, the group’s payments arm PayPay agreed to acquire a 70.2% stake in T&D Financial Life Insurance for about $840 million. The deal, expected to close in October 2027, aims to fully digitize the insurer’s operations and distribute policies directly through the PayPay app. Artificial intelligence will be used to optimize underwriting and customer service.
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The acquisition comes as PayPay had been trading at a valuation discount relative to peers. SoftBank sees the integration of insurance as a way to better monetize its massive Japanese user base — a move that could eventually add a steady revenue stream to offset the volatile swings in its listed holdings.
Son’s Accelerated AI Timeline
Throughout the week, Son also sharpened his forecast for artificial general intelligence. He now expects a superintelligent AI to emerge within two years, slashing his earlier estimate of a decade. The CEO pointed to OpenAI’s GPT-5.3-Codex model, which he said assisted in designing its own successor — a milestone he views as proof that human developers alone will soon be insufficient.
Son compared the coming boom to the dot-com bubble but called it “fifty times larger.” Rivals like Anthropic have urged caution, calling for global safeguards on self-improving systems, but SoftBank is betting heavily on speed.
What’s Next: IPOs and the Nikkei Tailwind
Investors are now watching two upcoming U.S. listings: SB Energy, the renewable energy subsidiary, and Roze, a robotics spinoff. Investment banks have already been mandated, and SoftBank hopes the Nikkei 225, buoyed by corporate governance reforms and hovering near the historic 66,000-point level, will provide additional support.
For now, the market’s focus remains fixed on the next catalyst. SoftBank’s management continues to disregard short-term share price gyrations, as Son directs all resources toward a single overarching goal: building the infrastructure for artificial superintelligence — whether the market is ready for it or not.
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